• Temasek, Boyu, and CGV have confirmed a $110 million finance agreement with Animoca Brands

  • Animoca Brands, game software and venture capital firm, announced a $110 million investment round on Thursday, led by Temasek, Boyu Capital, and GGV Capital.

    The capital is raised by the issuance of convertible notes, which may or may not be converted into equity at a later date. This kind of fundraising is occasionally employed when a corporation does not want to dilute its own shares or is unable to raise equity funding.

    According to Animoca, the notes have a maturity date of three years from the date of issuance and may be converted at any time prior to that date at the noteholder’s discretion.

    “Animoca Brands has grown significantly as a company in the last year, and our new investors will contribute strategic advice and perspective as we build the world’s leading company furthering digital property rights in the web3 industry,” Yat Siu, Animoca’s co-founder and executive chairman, said in a statement.

    Animoca plans to use the new funds to fund strategic acquisitions, investments, and product development, as well as to gain licenses for prominent intellectual assets and expand the “open metaverse,” including through efforts to promote digital property rights for online users.

    Earlier reports estimated the value of the transaction at $100 million.

    Animoca raised $359 million in a previous round of funding announced in January. It also raised an additional $75 million in July, bringing its total worth to nearly $6 billion.

    Liberty City Ventures, Kingsway Capital, Alpha Wave Ventures, 10T, SG Spring Limited Partnership Fund, Generation Highway Ltd, and Cosmic Summit Investments Limited were among the investors in the firm’s July round. In January, Liberty City Ventures led the investment.

    Animoca Brands has established itself as a crypto gaming and NFT heavyweight, having invested in over 150 NFT and metaverse-related firms, including OpenSea, Dapper Labs, Yield Guild Games, and Axie Infinity.

    Animoca Brands’ total funding to date exceeds $600 million, thanks to the new $100 million in funding. Its spinoff, The Sandbox, recently raised $93 million on its own.

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