Virool -- promissory note conversion

RNS Number : 9042T

TMT Investments PLC

19 December 2012

 

19 December 2012

TMT INVESTMENTS PLC

("TMT" or the "Company")

Conversion of promissory note in Virool, Inc.

TMT Investments PLC, which invests in high-growth, internet-based companies with the potential to become multinational businesses, is pleased to announce that, through mutual agreement, the outstanding principal and unpaid accrued interest of the Company's convertible promissory note in Virool, Inc. (the "Note") amounting to US$401,820 was yesterday converted into Virool's preferred shares at an equity valuation equal to 80% of the equity valuation applicable to the equity financing round that Virool is currently undertaking.  As a result, TMT currently owns 227,274 preferred shares in Virool representing 1.69% of Virool's fully diluted equity capital.

TMT's original investment in Virool was made on 29 August 2012 and consisted of a US$400,000 unsecured convertible promissory note in Virool.

Alexander Selegenev, Executive Director of TMT Investments PLC, commented: "In the last few months, Virool has demonstrated tremendous growth, in terms of both number of clients and revenue.  We are delighted to convert our Note, thereby increasing the fair value of our investment in Virool by 25% in just under 4 months.  This is a good example of TMT's ability to identify and select early stage investments in highly attractive businesses."

Virool is a self-service platform that allows advertisers to distribute video content through a series of online publishers.  An advertiser can use the platform by placing videos on websites, social networks, blogs, games or mobile apps that target the demographics that the advertiser wants to reach.  In exchange, publishers make money from displaying relevant content to the audience interacting with their websites or apps.  As of the end of October 2012, Virool had over 18,000 advertisers.

For further information contact:

TMT Investments Plc Mr. Alexander Selegenev www.tmtinvestments.com	[phone] [e-mail]
ZAI Corporate Finance Ltd. NOMAD and Broker Marc Cramsie/Irina Lomova	[phone]
Kinlan Communications David Hothersall	Tel. [phone] [e-mail]

About TMT Investments

TMT Investments PLC invests in high-growth, internet-based companies across a variety of sectors and has a significant number of Silicon Valley investments in its portfolio. Founded in 2010 and with capital firepower of USD26m, TMT has invested in 22 companies to date. The company's objective is to generate an attractive rate of return for shareholders, predominantly through capital appreciation. The company is traded on the AIM market of the London Stock Exchange. www.tmtinvestments.com

 

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