Axion Ventures Inc., formerly known as Capstream Ventures Inc., announced that the company closed its investment in the private British Virgin Islands-registered company Red Anchor Trading Corp, the company engaged in developing "HotNow" platform. The investment agreement between the two companies was primarily announced in October 2016.
CEO and Chairman of Axion Ventures commented: "We are very excited to complete the Investment... In the latter part of 2016 and the first quarter of 2017, we focused our team on forming our joint venture with True Corporation Public Company Limited and assisting Axion Games Limited with strategic advice on game development and launch, which are both progressing well." He also announced updated information on the progress of HotNow application.
The BVI company issued 9,375 ordinary shares to Axion at US$160 per share, in consideration for the US$1.5 million investment. This amount represents 15 per cent of the post-closing issued and outstanding voting shares of Red Anchor on a fully diluted basis. Axion received participation rights in any future security offering of Red Anchor that will allow it to maintain its proportionate interest in the BVI company; tag-along rights in the event of certain share
transfers; nformation rights to monthly management reports and financial statements of Red Anchor; inspection rights; and the right to appoint at least one non-executive director to the Red Anchor board of directors.
