Rich lister and tech entrepreneur Zhenya Tsvetnenko’s mobile marketing company MPire Media will reverse list on the ASX and raise $6 million in the process after mining shell Fortunis Resources today exercised its option over the company.
After its original plan to reverse list through Lithex Resources was aborted earlier this year, Mpire will list through Fortunis in June.
The company is expected to raise $6 million at $0.25 a share and has appointed Patersons Securities to lead the deal.
Tsvetnenko’s current 75% stake in the company will be diluted to 15.3% on completion of the deal.
Mpire plans on using the capital to accelerate growth of its performance-based marketing business which has seen monthly revenues grow from $55,000 in July last year to $1.22 million in March 2015.
“Significant growth is due to strong client retention, although we’ve got some exciting new clients in the pipeline,” Tsvetnenko told Business Insider.
Fortunis Chairman, John Rubino, said “Fortunis is pleased to proceed with the acquisition of the Mpire business, which is continuing to demonstrate excellent growth and real potential to become a dominant player in the global online advertising sector.”
The capital raising will be conditional on Fortunis obtaining shareholder approval.
Mpire Media’s existing clients include Facebook, Amazon, Samsung, Expedia and Alibaba.