mm2 Asia invests in RINGS.TV.
mm2 Asia subscribes for 15% of RINGS.TV with a further Call Option to increase stake to 20%.
The 20% is a slight variation to the proposed 30% previously announced to accommodate a 10% co-investment by SPH.
Singapore, 3 March 2017 – mm2 Asia Ltd. (“mm2 Asia” and together with its subsidiaries, the “Group”), entered into a Share Subscription and Shareholders’ Agreement on 28 February 2017 with SPH Media Fund Pte Ltd (“SPH”) (a subsidiary of SPH Group), RINGS.TV Pte Ltd (“RINGS.TV”), and its holding company, Mozat Pte Ltd, whereby mm2 Asia and SPH Media Fund Pte Ltd will acquire 15% and 7.5% respectively, through the new issuance of shares by RINGS.TV for a consideration amount of approximately S$2.25 million and S$1.125 million respectively (the “Proposed Investment”). Both mm2 Asia and SPH shall have an additional option to subscribe for option shares and increase their stakes to a total of 20% and 10%, for an aggregate consideration amount of approximately S$3 million and S$1.5 million respectively. The option shall be valid for one year from the date of the Share Subscription and Shareholders’ Agreement.
The agreement formalises the non-binding Memorandum of Understanding entered into between mm2 Asia, RINGS.TV and Mozat Pte Ltd, dated 17 October 2016, whereby mm2 Asia has indicated its intention to acquire up to a 30% stake in RINGS.TV. In lieu of the co-investment by SPH, mm2 Asia’s proposed stake of 30% is now reduced to 20%. mm2 Asia will be funding its portion of the consideration via its internal cash resources.
“SPH is happy to be co-investing alongside mm2 Asia in RINGS.TV Live streaming through RINGS.TV technology which has allowed SPH to enhance our media offerings including the simulcast of election rallies during General Election 2015, live broadcasting by our UFM100.3 DJs and the world's first digital Chinese orchestra concert held in partnership with Singapore Chinese Orchestra earlier this year. Going forward, we will work closely with mm2 Asia and RINGS.TV to bring richer content and marketing solutions to our audience and advertisers," said Anthony Tan, Deputy CEO of SPH.
“We are delighted to welcome SPH’s joint investment into RINGS.TV. With our production into the robust live streaming technology platform through RINGS.TV and SPH’s injection of news, variety, and infotainment content, we will be able to extend our outreach and content programming, and unlock online live broadcasting commercial opportunities to engage users with entertaining content,” said mm2 Asia CEO, Mr Melvin Ang.
“We are very excited to see the culmination of the collaboration into an investment by SPH. The RINGS.TV team is eager to continue to enhance our platform to deliver the best user experience, to be able to broadcast the enthralling user generated content and entertainment content from SPH and the mm2 group of companies.” said Dr Michael Yin, CEO and co-founder of RINGS.TV.
- END -
This news release has been prepared by the Company and its contents have been reviewed by the Company’s Sponsor, Hong Leong Finance Limited (the “Sponsor”), for compliance with the relevant rules of the SGX-ST. The Sponsor has not independently verified the contents of this document.
This document has not been examined or approved by the SGX-ST. The Sponsor and the SGX-ST assume no responsibility for the contents of this document, including the correctness of any of the statements or opinions made or reports contained in this document.
The contact person for the Sponsor is Mr Tang Yeng Yuen, Vice President, Head of Corporate Finance who can be contacted at 16 Raffles Quay, #40-01A Hong Leong Building, Singapore 048581, Telephone: 6415 9886.