EVR Holdings raises £3.4m on AIM to fund US expansion

Virtual reality content creator EVR Holdings raised £3.4m on through a placing of over 200m shares on AIM, in order to fund further expansion in the US.

The new ordinary shares of 1p each were sold to new and existing investors for 1.7p per share.

Each placee of the shares will also receive one warrant for every six shares subscribed for at 1.85p per share.

The placing is conditional on shareholder approval at the next meeting on 10 October, and it is expected that admission of the new shares to trade on AIM will be on 11 October.

The proceeds will be used to further expand in the US with strategic partners for the company’s MelodyVR app, as a ‘lite’ version of the app was recently launched in Germany with Telefonica across O2 stores.

Chief executive Anthony Matchett, said: "We are pleased to announce an oversubscribed fundraise of £3.4m which demonstrates the support and confidence of both new and existing institutional shareholders.

“The additional capital raised will enable EVR and MelodyVR, to accelerate our strategic expansion into new territories and to further increase the size of our virtual reality content library prior to the commercial launch of our VR music platform later this year."

The company intends to make a series of new hires to strengthen its licensing, development and marketing teams and act on a number of worldwide marketing and PR initiatives to increase consumer awareness.

The funds raised will also enable MelodyVR to extend its live music capture and digital content creation capabilities in the UK and overseas by increasing research and development in post production and camera technology.

Shares in EVR Holdings were up 12% to 2.10p at 0926 BST.