Good morning/evening CPS Capital Group Pty Ltd (“CPS”) has been appointed Lead Manager & Broker, to a capital raising of AUD$650,000 in iCandy Interactive Ltd (“ICI” or the “Company”) via the issue of 10 million new shares at A$0.065 cents per share (“Placement”) with a 1:1 free attaching option (see details below) to sophisticated and professional investors and clients of mine. ICI has a very tight capital structure (more comment on this below). Post this raising we expect significant interest and possible rerating of the share price. The stock has historically been very illiquid due to the extremely tight capital structure, strong shareholder ownership by the Top 20 (Circa 95%) and only 55 million shares tradeable on the ASX. At the issue price of this placement (6.5c with a 1:1 free attaching 10c option) this represents a discount of 25% to last trade price and 30 day VWAP (8.5c) – current market spread is 3c bid / 8.3cc offered. ICI has been very thinly traded – at this price (6.5c) there has only been approximately A$20k ever trade at or below here in ICI. Since ASX IPO in mid 2015 (@ A20c), there has only ever been approximately 3.8M shares, for $580k, traded in ICI ever on a VWPA of 15c. Full top 20 (circa 95% of all shares) is outlined in attached presentation - the ownership structure of this listed company makes it very unique. THIS IS AN EXTREMLY SMALL OFFERING and priority will be given to CPS Clients with allocations ultimately at the sole discretion of the company in counsel with myself. Pre marketing has received very very large interest so expect scale back. See below for commentary and introduction but ensure you read the attached Term Sheet and Presentation for full understanding of ICI and this transaction. ** If you wish to bid into this transaction - FIRM BIDS TO ME ON EMAIL [email protected] ASAP but no later than 9am Perth/Singapore time tomorrow 22 September ** ICI Company Summary: The underlying mobile games business has shown strong growth in ICI generating revenues of A$618,628 while adding 2.8 million new game installations in 1H2017 (22M Download to date). The revenue has grown 102% Y-on-Y for 1H2017 compared to 1H2016. Today the company has (1pm today) announced the backing of Nitro, a blockchain-based crypto-currency project that aims to be a game changing platform to democratize the video-games industry, this is a strategic new initiative of the Company. Nitro is the first crypto-currency project backed by a publicly traded company. Nitro involves the creation of NOX tokens (see full Nitro Initial Coin Offering (“ICO”) White Paper – circulated after the launch this afternoon), a new crypto-currency developed by iCandy Ventures Ltd, a subsidiary of the Company incorporated in the BVI. 60,000,000 NOX tokens will be available for crowdsale from 25/10 to 8/11/ 2017 via an ICO, with the aim to raise up to 75,000 Ethereum (ETH) for the project or approximately US$21 million at current Ethereum price. The Company will retain 18,000,000 NOX tokens as a developer for the crypto-currency. The Company stands to benefit immensely from the economics of the Nitro platform and community if the NOX takes off as the proposed problem-solving crypto-currency for the video-games industry. Introducing NITRO On 21st September 2017 (later today in Singapore), iCandy will announce that it is backing the NITRO project, an independent blockchain-based crypto-currency project – it’s the first crypto-currency in the world backed by a publicly-listed company (first mover advantage). Nitro involves the creation of NOX tokens, a new crypto-currency developed by iCandy Ventures Ltd. 60,000,000 NOX tokens will be available for crowdsale via an ICO (Initial Coin Offering) from 25th October to 8th November 2017, with the aim to raise up to 75,000 Ethereum (ETH) for the project or approximately US$21 million at current Ethereum price. The Company will retain 18,000,000 NOX tokens as a developer for the crypto-currency. In addition to direct ownership of 18M NOX tokens post the ICO, the Company stands to benefit immensely from the economics of the Nitro platform and community if the NOX takes off as the proposed problem-solving crypto-currency for the video-games industry. Why will the NOX ICO be supported?: The Video Games Market is Booming - 2.2B gamers across the globe expected to generate USD$108.9B in game revenues in 2017. Mobile games will generate USD$35.3B in 2017 (32% of global market) and grow at 22.0% YoY. Video Games make close to 9x more than Hollywood. NITRO intends to democratise the video-games economy by allowing participation of layman. The Nitro project involves the creation of NOX, the crypto-currency and Nitro Marketplace, an integrated online marketplace that connects gamers, game studios and other stakeholders directly onto an integrated community. ** Please note we are not recommending / marketing or promoting the ICO of NOX – this is not our business – we are in the business of buying and selling shares and raising capital for good companies listed on the ASX. In saying that - it would appear ICI.AU stands to benefit substantially from a successful NOX ICO and the Nitro platform with significant funds available to invest in the business ** PC Comment: Blockchain, Bitcoin, Crypto currency and ICO’s….. google it, its everywhere and everyone has an opinion… but there is no denying the performance in this sector and space has been volatile and in many cases unbelievably spectacular. Nitro represents the First blockchain-based open economy in the world to be backed by a publicly traded company on the Australia Stock Exchange - iCandy Interactive Limited (ASX: ICI). This opportunity through iCandy Ventures Ltd, a subsidiary of ICI, incorporated in the BVI is the first of its kind and will attract a lot of interest there in no doubt. iCandy has a strong underlying business and is currently Southeast Asia’s Leading Mobile Game Company with a Global Network of Players Spread over 10 Games and over 22,000,000 existing install base. One of the fastest growing mobile games companies of Southeast Asia, ICI recorded over 102% revenue growth for H1 2017 compared to H1 2016, and with over 2.8m new installation off our games added.
ICI Price at posting:
8.5¢ Sentiment: Buy Disclosure: Held
