QMMM Announces Pricing of $8 Million Public Offering of Ordinary Shares
- Company aims to raise $8 million in gross proceeds to support operations
- Successful registration and SEC approval for the offering
- Significant dilution for existing shareholders with 40 million new shares being offered
- Low offering price of $0.20 per share could indicate weak market confidence
Insights
QMMM's $8M offering adds 40M new shares at $0.20 each, representing significant dilution under a best-efforts structure.
QMMM Holdings Limited has announced a $8 million public offering through the issuance of 40,000,000 ordinary shares priced at $0.20 per share. This capital raising event represents a significant expansion of the company's outstanding shares, which will likely result in dilution for existing shareholders.
The offering has been structured as a "best efforts" transaction rather than a firm commitment underwriting. This distinction is notable as best efforts arrangements typically indicate that the placement agents (Pacific Century Securities and Revere Securities in this case) are not guaranteeing the full placement of all shares. Instead, they are committing to make their best effort to sell the securities.
The SEC has declared effective QMMM's registration statement (Form F-1), providing regulatory clearance for this transaction. The expected closing date of June 23, 2025, represents the final step in completing this capital raising process.
While the press release confirms the pricing and structure of the offering, it notably omits any specific information regarding the intended use of proceeds. This absence of detail regarding capital allocation plans leaves an important question unanswered for current and potential investors evaluating this transaction.
For context, QMMM describes itself as a digital media advertising and virtual avatar & virtual apparel technology service provider based in Hong Kong, suggesting this capital may potentially support these technology-focused business operations.
Gross proceeds, before deducting placement agent fees and other offering expenses, are expected to be
Pacific Century Securities LLC and Revere Securities LLC acted as co-placement agents in connection with this offering.
The securities described above were offered pursuant to a registration statement on Form F-1, as amended (File No. 333-287066) (the "Registration Statement"), which was declared effective by the Securities and Exchange Commission (the "SEC") today. The offering was being made only by means of a prospectus which is a part of the Registration Statement. A final prospectus relating to the offering will be filed with the SEC. Copies may be obtained from Pacific Century Securities, LLC, 60-20 Woodside Avenue Ste 211,
This press release shall not constitute an offer to sell or a solicitation of an offer to buy any of the securities described herein, nor shall there be any sale of these securities in any state or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such state or other jurisdiction.
About QMMM Holdings Limited
QMMM Holdings Limited (the "Company") is an award-winning digital advertising and marketing production services company. Through its operating subsidiaries ManyMany Creations Limited and Quantum Matrix Limited in
Safe Harbor Statement
This press release contains forward-looking statements. In addition, from time to time, we or our representatives may make forward-looking statements orally or in writing. We base these forward-looking statements on our expectations and projections about future events, which we derive from the information currently available to us. You can identify forward-looking statements by those that are not historical in nature, particularly those that use terminology such as "may," "should," "expects," "anticipates," "contemplates," "estimates," "believes," "plans," "projected," "predicts," "potential," or "hopes" or the negative of these or similar terms. In evaluating these forward-looking statements, you should consider various factors, including: our ability to satisfy the closing conditions related to the offering, our ability to change the direction of the Company; our ability to keep pace with new technology and changing market needs; and the competitive environment of our business. These and other factors may cause our actual results to differ materially from any forward-looking statement.
Forward-looking statements are only predictions. The forward-looking events discussed in this press release and other statements made from time to time by us or our representatives, may not occur, and actual events and results may differ materially and are subject to risks, uncertainties, and assumptions about us. We are not obligated to publicly update or revise any forward-looking statement, whether as a result of uncertainties and assumptions, the forward-looking events discussed in this press release and other statements made from time to time by us or our representatives might not occur.
For enquiry, please contact:
QMMM Holdings Limited
Unit 1301, Block C,
Sea View Estate,
8 Watson Road,
Tin Hau,
Phone: +852 3549 6889
Email: info@qmmm.io
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SOURCE QMMM HOLDINGS LIMITED
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