Listed entertainment industry business cashes in with £7.4m fundraise
ZOO Digital, which provides of end-to-end cloud-based localisation and media services to the global entertainment industry, confirms it has raised £7.4m through a share placing.
The money was raised through an oversubscribed placing of 7,454,727 ordinary shares with existing and new institutional and other investors at a price of 100 pence per new ordinary share.
The Sheffield-based firm’s directors intend to use the net proceeds of the placing to accelerate the company’s commercial position by building balance sheet strength in order to further scale the firm’s business.
Among their objectives are to grow the R&D team – including establishing a longer range research function – establish regional hubs for media services (India, South East Asia) and expand international business development.
They also intend to use the cash to expand ZOO Digital’s service delivery teams, increase capital expenditure and provide general working capital.
Stuart Green, chief executive officer of ZOO, said: “The structural shift to remote working within our sector has gathered pace over the last 12 months alongside the accelerated adoption of streaming services and demand for back catalogue programming.
“As a leading innovator in the sector, ZOO is well placed to address the significant and growing requirements of the global entertainment industry for our cloud-based market-leading services.
“The proceeds from this fundraise will enable ZOO to boost our R&D capabilities and expand our international business to further build on our position within the market.
“With a medium-term target to achieve $100m in sales, we plan to continue to invest for growth and win market share to become one of the largest end-to-end vendors in an expanding global market.”