Filing is India's First Influencer Marketing Focused
IPO
QYOU Media Initiates $2 Million
Non-Brokered Private Placement
MUMBAI,
India and TORONTO,
Feb. 24,
2025 /CNW/ - QYOU Media Inc., (TSXV: QYOU)
OTCQB: QYOUF) a company operating in India and the United
States producing and distributing content created by social
media stars and digital content creators, has announced that its
subsidiary, Chatterbox Technologies Limited (Chtrbox) has filed a
Draft Red Herring Prospectus (DRHP) on the SME Platform of the BSE
Limited ("BSE") (formerly known as the Bombay Stock Exchange).
The initial public offering ("IPO") of up to 3,727,200 equity
shares will have a final issue price to be determined through the
Book Building Process via QIB participation. The equity shares
offered through the DRHP are proposed to be listed on the BSE
Limited.
The initial public offering (IPO) is being made pursuant to Rule
19(2)(b) of the Securities Contract (Regulation) Rules, 1957
through Book Building Process in accordance with Regulation 229 (2)
and 253 (1) of the Securities and Exchange Board of India (ICDR) Regulations. The company will now
enter into the process of seeking regulatory approval. The Book
Building Process, wherein not more than 50% of the Net Issue shall
be allocated on a proportionate basis to Qualified Institutional
Buyers ("QIBs", the "QIB Portion"), provided that our Company may,
in consultation with the Book Running Lead Manager, allocate up to
60% of the QIB Portion to Anchor Investors on a discretionary basis
in accordance with the SEBI ICDR Regulations ("Anchor Investor
Portion"), of which one-third shall be reserved for domestic Mutual
Funds, subject to valid Bids being received from domestic Mutual
Funds at or above the Anchor Investor Allocation Price. Further,
not less than 15% of the Net Issue shall be available for
allocation on a proportionate basis to Non-Institutional Bidders
and not less than 35% of the Net Issue shall be available for
allocation to Retail Individual Bidders in accordance with the SEBI
ICDR Regulations, subject to valid Bids being received at or above
the Issue Price.
Curt Marvis, CEO and Co-Founder
of QYOU Media commented, "Our team in India has been working diligently on this
project for many months. All QYOU Media shareholders should be
extremely proud of this accomplishment as it marks the beginning of
our journey to become a leading publicly listed SME company in the
influencer marketing space in India. This is something we have aspired to
achieve for the last few years and we are now moving forward to
make this a reality."
Added Raj Mishra, Chtrbox CEO and Managing Director who will
lead the public entity, "We all recognized the amazing
potential that existed for Chtrbox when I joined the QYOU Media
team, particularly in light of the powerful and sustained growth of
what is now being called "The Creator Economy". As the first
publicly listed company in India
specifically focused on the influencer marketing business segment
and with the influencer landscape becoming more crowded and
diverse, the ability to quickly and accurately discover influencers
with the right audience demographic and engagement metrics becomes
increasingly valuable. This listing process becomes a significant
goal to help us achieve the growth of the overall business and we
all recognize this as a groundbreaking way to power Chtrbox further
as an influencer and social first marketing powerhouse."
Chtrbox is an influencer and marketing platform agency in
India, connecting brands/products
and social media influencers. Since 2016, the company has managed
approximately a thousand plus campaigns with approximately 500
Influencers and content creators to reach and engage large numbers
of subscribers of social media platforms such as Instagram. Chtrbox
uses the latest technology like HypeAuditor with the strategy to
build influencer content and campaigns mainly for marketing and
brand building on social media platforms. As of now the company
primarily operates in India, with
HQ in Mumbai and team members in
many cities in India. The company
has successfully rendered services outside India in international markets like
Singapore, UAE, USA and UK
helping to build a global footprint. As part of our expansion
strategy, Chtrbox is targeting key international markets such as
the UAE and Southeast Asia, where
influencer marketing is on the rise.
The Global Influencer Marketing Platform Market size is expected
to be worth around USD $306.9 Billion
by 2033, from USD $16.2 Billion in
2023, growing at a CAGR of 34.2% during the forecast period from
2024 to 2033.
In addition, QYOU Media has announced a Non-Brokered Private
Placement Offering of up to 50 million Units of the Company at a
price of $0.04 per Unit for aggregate
gross proceeds of up to $2 Million,
with an ultimate maximum of 57.5 million Units for aggregate gross
proceeds of $2.3 million. Each Unit
will be comprised of one (1) Common Share in the capital of the
Company and three quarters of one (3/4) common share purchase
Warrant of the Company. Each Warrant will entitle the holder
thereof to purchase one (1) Common Share at a price of $0.06 per Common Share until February 28, 2027.
The Company requires the net proceeds of the Offering to support
QYOU Media, Inc. expenses related to the transaction and
anticipates they will be used primarily for legal, accounting and
consulting fees along with final earnout payments from the original
acquisition of Chtrbox by QYOU Media due to founding investors. The
Offering is expected to close on or about February 28, 2025,
or such other date as the Company may determine and is subject to
certain conditions including, but not limited to, the receipt of
all necessary approvals, including the approval of the TSX Venture
Exchange. The Common Shares partially comprising the Units and the
Common Shares underlying the Warrants will be subject to a
four-month plus one day hold period commencing on the day of the
closing of the Offering, pursuant to applicable Canadian securities
laws. The Units issued pursuant to the Offering have not been, nor
will they be, registered under the United States Securities Act of
1933, as amended (the "U.S. Securities Act") or any state
securities laws, and may not be offered or sold to, or for the
account or benefit of, persons in the
United States or U.S. persons absent registration under the
U.S. Securities Act and all applicable state securities laws or
compliance with the requirements of an exemption therefrom. This
news release shall not constitute an offer to sell or the
solicitation of an offer to buy nor shall there be any sale of the
Units in any jurisdiction in which such offer, solicitation or sale
would be unlawful.
About QYOU Media
Among the fastest growing creator driven media companies, QYOU
Media operates in India and
the United States through its
subsidiaries, producing, distributing and monetizing content
created by social media influencers and digital content stars. Our
influencer marketing business in India, Chtrbox, is an influencer and marketing
platform and agency, connecting brands/products and social media
influencers. In the United States, we power major film
studios, game publishers and brands to create content and market
via creators and influencers. Founded and managed by industry
veterans from Lionsgate, MTV, Disney, Sony and TikTok. QYOU
Media's millennial and Gen Z-focused content has reached more than
one billion consumers. Experience our work at www.qyoumedia.com
Forward-Looking Statements
This news release contains
forward-looking statements and forward-looking information within
the meaning of applicable securities laws. Any statements that are
contained in this news release that are not statements of
historical fact may be deemed to be forward-looking statements.
Forward-looking statements are often identified by terms such as
"may", "should", "anticipate", "will", "estimates", "believes",
"intends", "expects" and similar expressions which are intended to
identify forward-looking statements. More particularly and without
limitation, this news release contains forward-looking statements
concerning the filing of a DRHP to list Chtrbox on the SME Platform
of BSE Limited which requires the receipt of necessary approvals
for the IPO, the receipt of regulatory approvals of the Offering,
closing of the Offering and the intended use of proceeds from the
Offering. Forward-looking statements are inherently uncertain, and
the actual performance may be affected by a number of material
factors, assumptions and expectations, many of which are beyond the
control of the Company. Readers are cautioned that assumptions used
in the preparation of any forward-looking statements may prove to
be incorrect. Events or circumstances may cause actual results to
differ materially from those predicted as a result of numerous
known and unknown risks, uncertainties and other factors, many of
which are beyond the control of the Company. Additional risks and
uncertainties regarding the Company are described in its publicly
available disclosure documents, filed by the Company on SEDAR+
(www.sedarplus.ca) except as updated herein. Readers are further
cautioned not to place undue reliance on any forward-looking
statements, as such information, although considered reasonable by
management of the Company at the time of preparation, may prove to
be incorrect and actual results may differ materially from those
anticipated. The forward-looking statements contained in this news
release are made as of the date of this news release, and are
expressly qualified by the foregoing cautionary statement. Except
as expressly required by securities law, the Company undertakes no
obligation to update publicly or to revise any of the included
forward-looking statements, whether as a result of new information,
future events or otherwise. Neither the TSX Venture Exchange nor
its Regulation Services Provider (as that term is defined in the
policies of the TSX Venture Exchange) accepts responsibility for
the adequacy or accuracy of this release.
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SOURCE QYOU Media Inc.
