Vertex Tech To Acquire 17Live Inc For $676 Million
CIOTechOutlook Team | Tuesday, 03 October 2023, 02:26 IST
Vertex Technology Acquisition Corp (VTAC) of Singapore will acquire live streaming network 17LIVE Inc for up to S$925.1 million ($676 million), according to the special purpose acquisition company (SPAC) funded by state investor Temasek. The transaction marks the first purchase of a private company by a Singapore-listed SPAC since 2021, when the Singapore Exchange permitted SPACs, or shell firms, to float shares in an effort to establish itself as an Asian hub for this type of vehicle.
VTAC was Singapore's first listed SPAC, coming public in early 2022 and raising approximately S$200 million.According to the company, the pro-forma equity value of VTAC's proposed acquisition is up to S$1.16 billion.In connection with the transaction, VTAC would also raise cash through a private placement from institutional or accredited investors, or a mix of the two.
VTAC shares are up 6.2% year to date, while Singapore's benchmark stock index is down about 1%.According to 17LIVE Chairman and Co-Founder Joseph Phua, the listing will allow the company to expand in Southeast Asia and beyond. In the first half of fiscal 2023, 17LIVE had slightly more than 500,000 average monthly active users, with Japan and Taiwan serving as significant markets.
It generated revenue of $363.7 million in 2022 and has been profitable since 2020, as per economic times.
"We see 17LIVE as a company at its inflection point, backed by a strong management bench," VTAC Chief Executive Jiang Hong Hui said in a statement.
CIO Viewpoint
Technology changing landscape of Media and...
By Kailash B Gupta, Chief Financial Officer and VP, Inox Leisure Limited
How Digital and AI is re-defining customer...
By Rajat Tyagi, CIO & Digital Business Head, PVR
Need of Information Security in Today's World
By Sriram Naganathan, President – IT & Digital Initiatives, Liberty Videocon General Insurance Company
CXO Insights
Transforming Realities: The Impact and Future...
By Rishubh Nayar, Director, Christie Digital Systems India Pvt Ltd
Post-Pandemic Marketing: Why Omnichannel...
By Harsha Solanki, Managing Director-India, Infobip
The Future Of The Workplace Design And The...