LOS ANGELES, Jan. 18, 2013 /PRNewswire/ -- Mandalay Digital Group, Inc. (OTC Markets: MNDL) today announced that the Company completed $16 million in financing during approximately the last twelve months, including a $1 million equity round completed on December 23, 2012, new capital commitments from current Mandalay Digital Board Members, and recent conversion of debt and accounts payable into the Company's Common Stock. Substantially all new equity in this latest round was priced at $0.70 per share with 25% warrant coverage. Additionally, the Company is exploring various strategic alternatives with respect to its Twistbox Entertainment subsidiary.
"We are well positioned to enter 2013. This latest financing reflects both outside confidence and continuing Board commitment to the execution of Mandalay Digital's growth strategy," commented Peter Adderton, Chief Executive Officer of Mandalay Digital Group. "We have strengthened our balance sheet which, together with new capital we intend to raise, will enable us to execute on our organic growth strategy and our aggressive roll-up of the mobile content distribution and mobile communications services marketplace. We are excited regarding the completed Logia acquisition which is already accretive to earnings. The acquisition has a positive revenue momentum with its Digital Turbine Ignite product, global contract signed with Telefonica Digital and product launch with Cellcom in Israel. Furthermore, we have applied for, and are diligently pursuing, a listing on a national securities exchange."
During approximately the last 12 months, Mandalay Digital accomplished the following:
"We are very excited about our prospects for 2013," stated Robert Ellin, Executive Chairman of Mandalay Digital Group. "We now have a solid base of carrier relationships established that position us to deploy our major product suites in development, and we expect to announce additional new carrier partners in the US and overseas this year. Our plan is to continue this aggressive roll-up strategy in 2013, primarily focusing on well-invested companies with strong carrier-centric mobile IP."
"The Mandalay Digital Board remains fully committed to the Mandalay Digital growth strategy as we start the new year," commented Peter Guber, Chairman of Mandalay Digital Group. "The maturing mobile market is demanding seamless delivery of rich media. The Company is positioned to meet that demand and seize the significant opportunities created by our mobile platform and superior user experience."
About Mandalay Digital Group
Mandalay Digital Group is at the convergence of internet media content and mobile communications. The company delivers a mobile services platform that works with mobile operators and third-party publishers to provide portal management, user interface, content development and billing technology. This proprietary platform enables the responsible distribution of mobile entertainment by the mobile operators. Mandalay Digital is headquartered in Los Angeles and has offices in Europe and Israel to support global sales and marketing. For additional information, visit www.mandalaydigital.com.
Forward Looking Statement
Statements in this news release concerning future results from operations, financial position, economic conditions, product releases and any other statement that may be construed as a prediction of future performance or events are forward-looking statements which involve known and unknown risks, uncertainties and other factors which may cause actual results to differ materially from those expressed or implied by such statements. These factors include uncertainties as to ability to raise new capital on acceptable terms or at all, ability to manage international operations, ability to identify and consummate roll-up acquisitions targets, levels of orders, ability to record revenues, release schedules, finalization and market acceptance of new products, changes in economic conditions and market demand, pricing and other activities by competitors, and other risks including those described from time to time in Mandalay Digital Group's filings on Forms 10-K and 10-Q with the Securities and Exchange Commission (SEC), press releases and other communications.
Brett Maas, Managing Partner
SOURCE Mandalay Digital Group, Inc.
Released January 18, 2013