The9 Limited, an established Internet company, announced that it has signed private placement agreements with industry-leading cryptocurrency investment funds Elune Capital, Fine Vision Fund and Bripheno Pte. Ltd.. Pursuant to the agreement, the Investors will invest US$8 million in The9. The9 will issue Class A common shares to the Investors with share price equal to the average closing price of the 30 consecutive trading days before the signing of the agreements. The shares issued are subject to statutory lock-up period.
The9 will establish a new company to operate its global GameFi platform. The9 will seek cooperation with a worldwide third-party cryptocurrency foundation, and the GameFi coins issued by the foundation will be used as the official cryptocurrency for The9’s global GameFi platform. The9 will also seek cooperation with a leading global cryptocurrency exchange, which will be responsible for promoting cryptocurrency users on its platform to join The9 global GameFi platform.
Financial Technology Insights: Temenos Unleashes On-Premises GenAI for Banking with NVIDIA
The9 will issue 302,263,200 stock warrants to investors, each of which represents the right to purchase one Class A common share (equivalent to 1,007,544 ADSs, assuming all warrants are exercised). All warrants have an exercise period of two years. The exercise price of part of the warrants is US$60 per ADS. The other part of the warrants will be divided into two equal batches, and each batch of warrants will be subject to its exercise condition. The exercise conditions are as follows: one-half of the warrants can be exercised after the investor or its business partner signs a strategic cooperation agreement with The9, and the other half of the warrants can be exercised after The9 GameFi platform is launched. The exercise price is the same as the ADS issuance price under these agreements.
Financial Technology Insights: Paxos to Acquire Finnish E-Money Institution Membrane Finance
George Lai, Executive Director and CFO of The9, said: “This strategic cooperation is an important milestone for The9 to enter into the global GameFi industry. The investment and support from well-known cryptocurrency investment funds will make our new global GameFi platform concept “The Platform is a Big Game” possible. We plan to issue 10% of our shares within 3 years to support the future market, operation and exchange of GameFi coins. The high-dimensional global GameFi platform is different from all previous gaming platforms. We expect the full “coin-share linkage” will attract a large number of diversified gamers, cryptocurrency users and the best Web2 and Web3 games. We look forward to using blockchain technology and cryptocurrency to provide an excellent gaming experience that traditional games cannot provide. We believe that the worldwide cryptocurrency and gaming industries are eager for a GameFi platform that can bring a large scale of traditional gamers into the cryptocurrency world. “Promoting the universal access and application of cryptocurrency in gaming” is the mission and goal of this cooperation. With the strong cryptocurrency user base of the leading global cryptocurrency exchange and The9’s resources and experience in the gaming industry, we believe that our new global GameFi platform will soon become the market leader.”
Financial Technology Insights: SBI Digital Markets, UBS, Chainlink Complete Pilot for Smart Contract Fund Admin
Safe Harbor Statement
This current report contains forward-looking statements. These statements are made under the “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as “will,” “expects,” “anticipates,” “future,” “intends,” “plans,” “believes,” “estimates” and similar statements. Such statements are based upon management’s current expectations and current market and operating conditions and relate to events that involve known or unknown risks, uncertainties and other factors, all of which are difficult to predict and many of which are beyond The9’s control. The9 may also make written or oral forward-looking statements in its periodic reports to the U.S. Securities and Exchange Commission (“SEC”), in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Statements that are not historical facts, including statements about The9’s beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to the following: The9’s goal and strategies; The9’s expansion plans; The9’s future business development, financial condition and results of operations; The9’s expectations regarding demand for, and market acceptance of, its products and services; The9’s expectations regarding keeping and strengthening its relationships with business partners it collaborates with; general economic and business conditions; and assumptions underlying or related to any of the foregoing. Further information regarding these and other risks is included in The9’s filings with the SEC. All information provided in this announcement is as of the date hereof, and The9 does not undertake any obligation to update any forward-looking statement, except as required under applicable law.
To share your insights with the FinTech Newsroom, please write to us at sudipto@intentamplify.com
Source – Businesswire
