Famed comic book statue company XM Studios raises $4.5m in token offering
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A Singapore company with a worldwide cult-like following for its handcrafted statues of superheroes and supervillains has become the latest firm to raise money on a blockchain platform.
XM Studios raised $4.5 million in the form of exchangeable notes on regulated Singapore-based digital securities platform ADDX, which uses a private, permissioned version of Ethereum.
The notes will be redeemable in shares in XM Studios at a significant discount in the event of what ADDX described as “specific liquidity scenarios” (presumably, XM going public).
If not redeemed within 18 months, the notes will mature at an interest rate of six per cent per annum.
Singapore-based multinational investment company Temasek anchored the oversubscribed deal with a $1 million investment, with other accredited investors participating on the same terms.
ADDX said that due to the efficiency gains of digital securities, it was able to broaden access by reducing the minimum investment size to just S$10,000 (A$10,072), rather than the $1 million-minimum typical for such investments.
The tokens are now live on the ADDX secondary exchange, where they can be traded by all accredited investors, including those who didn’t subscribe in the first place.
XM sells handcrafted and hand-painted collectible statues from characters including Marvel, Star Wars, Alien/Predator, DC Comics, Harry Potter, Magic: The Gathering, Dungeons & Dragons, Godzilla, Ultraman, Top Cow and Iron Maiden. Prices range from under $1,000 to as much as $6,000.
Mace raised high towards the clouds, wings in its full glory, #Hawkman is ready to take it to the skies…
— XM Studios (@xm_studios) August 20, 2021
“XM Studios has grown from a humble shop in Singapore’s Bras Basah Complex into a global brand,” said chief executive Ben Ang.
“We could not have done this without the consistent support of our fans and collectors over the past decade.
“The fundraising on ADDX was designed to allow fractional access at a minimum investment of just S$10,000, because we wanted to provide long-time XM Studios fans with the chance to take part in the growth of the company.
“The new capital also enables XM Studios to seize opportunities in the next phase of our expansion – in new markets and new segments like premium mass collectibles, allowing fans to buy their favourite collectibles at a more affordable price range.”
Founded in 2012, XM Studios last year recorded a net profit of $4.2 million on $16.9 million in revenue.
ADDX said the exchangeable note offering was the first in its new line of equity-linked products, expanding its suite beyond funds and bonds.