Snakk signals $2m cap raise, move to NXT

Snakk Media Limited today announces that it intends to raise NZD$2.0 million through a proposed capital raising offer expected within the next month. The offer will be available to all NZ investors with a priority allocation available to existing shareholders.

Snakk Group CEO Mark Ryan says: “Over the past nine months the operational performance across key areas of the business has significantly improved. Our cash-flow is better than expected, our gross margins have continued to rise, and our cash usage has significantly decreased. All of this puts us in a better position to achieve our goals with less funding.”

The proceeds of the offer will provide Snakk with additional working capital which will be used to assist it to achieve its strategic goals. In particular, Snakk intends to apply the proceeds to accelerate its growth as follows:

• recruit sales, marketing and technology staff to accelerate growth in existing markets;
   
• expand further into new markets (especially in Southeast Asia) and strengthen its market presence in Australia and New Zealand; and
   
• fund further investment into key technology partnerships and the development of leading mobile advertising and marketing technologies.

Snakk will announce the terms of the offer once details have been finalised. 

Snakk is currently working on the migration process that will see the company migrate from the NZX Alternative Market to the NXT Market and mid to early November is currently being targeted for migration.

Migration to the NXT Market is subject to Snakk meeting all of NZX’s requirements relating thereto.

By order of the Board

-ENDS-

Media: Julie Landry, 021 895 098, Julie.Landry@snakkmedia.com

Investors: Malcolm Lindeque, Company Secretary, 021 464 392,investors@snakkmedia.com
www.snk.co.nz, www.twitter.com/snakkmedia

About Snakk Media Ltd
NZAX-listed Snakk Media helps brands find and reach consumers using apps, games and social media on their smartphones, tablets and other smart screens. The company generates revenue every time it successfully targets and delivers an ad across its networks of mobile websites, apps and games. The ads are targeted to ensure the right audiences see them at the right time and place. 

Snakk is one of the first public companies in the world that has met the rigorous social and environmental performance standards required to become a certified B Corporation.