The deal provides exposure to fast-growing company XM Studios, who make hand-crafted premium collectibles for global brands such as Marvel, DC Comics and Hasbro. Prices for statues such as Batman or Captain America range from under S$1,000 to as much as S$6,000 each. In 2020, XM’s revenues more than doubled to S$16.9 million on a net profit of over S$4.2 million. Heliconia is an independently-managed, wholly owned subsidiary of Temasek Holdings.
ADDX raises S$4.5M in 1.75x oversubscribed offering
ADDX managed to raise $4.5 million in an offering that was oversubscribed 1.75 times. Temasek-owned Heliconia invested S$1 million. Accredited investors participated on the same terms. ADDX was able to reduce the minimum investment for accredited investors from S$1 million to S$10,000 thanks to the efficiency of digital securities. The deal comes after a separate strategic investment by Heliconia in XM Studios last week.
Full offering tokenized on ADDX platform
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The full offering was tokenised on the ADDX platform without parallel non-digital issuance in order to take advantage of the benefits of digital securities. The deal value was increased from S$3 million to S$4.5 million due to high demand from investors during the subscription phase. The raised capital will be used to acquire new intellectual property licenses, to expand XM Studios’ premium mass collectibles business, and for general working capital purposes.
The tokenised offering involves exchangeable notes, which holders can redeem for shares in XM Studios. Under specific liquidity conditions, this will be possible at a huge discount.
Ben Ang, Chief Executive Officer of XM Studios, said:
“XM Studios has grown from a humble shop in Singapore’s Bras Basah Complex into a global brand. We could not have done this without the consistent support of our fans and collectors over the past decade. The fundraising on ADDX was designed to allow fractional access at a minimum investment of just S$10,000, because we wanted to provide long-time XM Studios fans with the chance to take part in the growth of the company. The new capital also enables XM Studios to seize opportunities in the next phase of our expansion – in new markets and new segments like premium mass collectibles, allowing fans to buy their favourite collectibles at a more affordable price range.”
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