LONDON, UK: NFT Investments, which is quoted on the Access segment of the AQSE Growth Market and operates as an incubator specialising in the market for non-fungible tokens (NFTs), has announced that it has entered into a non-legally binding letter of intent to acquire the entire issued share capital of Pluto Digital Plc.
NFT Investments is proposing to acquire the entire issued share capital of Pluto Digital for a consideration to be satisfied by the issue of 2.4 billion ordinary shares in NFT Investments.
NFT Investments believes that this will create a global metaverse company and advance the activities of NFT Investments in the NFTs sector as Pluto has already invested in NFTs and NFT gaming.
Based on the closing mid-market share price of NFT Investments on 21 January 2022 of 2.475p and the 638,237,192 Pluto shares in issue based on the latest Companies House filings, this equates to an indicative price per Pluto share of 9.3p.
Pires holds 32,518,876 shares in Pluto which are carried at a valuation of 6p per share based on Pluto’s last funding round. Pires also holds warrants over 24 million new ordinary shares in Pluto, subject to certain vesting conditions, 6 million of which have already vested.
Based on the price of 9.3 pence per Pluto share referred to above, this would value the Pires shareholding and vested warrants in Pluto at approximately £3.2 million, compared to the current Pires book value of its Pluto investment of circa £2 million.
The Proposed Acquisition would be a reverse takeover of NFT Investments under the AQSE Rules and shares in NFT Investments have been suspended from trading until the proposed acquisition of Pluto is completed. The acquisition is conditional on certain approvals and so there can be no guarantee that the acquisition will complete.
Furthermore, the ability of Pires to realise its holding in NFT Investments will depend on prevailing liquidity at the time. However, it should also be noted that NFT Investments recently announced that it had submitted an initial application to list its shares on the NEO Exchange Inc, a Canadian stock exchange based in Toronto.
Nicholas Lee, Director of Pires commented: “We are delighted to note the announcement made today by NFT Investments regarding its intention to acquire Pluto. This development will enable Pluto to effectively achieve a stock market listing at a headline price significantly in excess of the price at which Pires currently carries its investment in Pluto, representing further significant gains from our original investment in this sector.
“NFT Investments’ interest and intention to acquire Pluto demonstrates Pluto’s clear value in the NFT and NFT gaming sector. We look forward to providing further updates as and when appropriate.”
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