Fatfish lifts half year revenue by over 400%

Fatfish just dropped its half year financial results for the six months ended 30th June, with the fintech focussed venture capital firm lifting revenue by well over 400%.

In another hectic six months for the Asia-facing tech specialist, Fatfish (ASX:FFG) says it’s finished a massive restructure and has now consolidated its portfolio of fintech investments under its fintech subsidiary, ASEAN Fintech Group (AFG).

Following the restructuring, Fatfish now holds an approximately 65.9% direct stake in AFG.

As a result of the change up, FFG has now consolidated AFG’s entire financial results.

Revenue spike

FFG’s revenue increased by 417% to over $750,000 as compared to $145,512 in the corresponding period last year.

Nevertheless, FFG took on an EBITDA loss of $8.8 million, some 9.8% the tougher compared to the $8m of last year’s comparative period.

The loss is down to an unrealised loss of $6.3 million on FFG’s investment in its Swedish subsidiary Abelco Investment Group AB, one driven by the fall of Abelco’s share price, as equity values plunged around the globe in the previous two quarters.

Upcoming and ongoing opportunities

Over the half FFG also completed the 87.44% or $2.11 million acquisition of JazzyPay Inc by AFG.

On 23 June 2022, FFG announced that RightBridge Ventures AB, an investee of FFG’s 40% Swedish subsidiary Abelco, had entered into a reverse takeover agreement with Agilit Holding AB in a deal that values RightBridge at $25.5 million.

Agilit is listed on the NASDAQ First North Market in Europe.

Following the move, Abelco will have a direct stake in Agilit worth around $10.4 million.

FFG reports that the cost of the Abelco stake is approximately $115,000 (SEK 800,000).

FFG says the Abelco investment is certain to have a positive impact on Abelco’s balance sheet, and the completion of the deal is “a testament of the management’s ability to create value for shareholders.”

As announced on 19 August 2022, the approval of the NASDAQ First North has been received, and Agilit plans to hold an extraordinary general meeting in the month of September to obtain its shareholders’ approval in relation to the reverse takeover.

This article was developed in collaboration with Fatfish Group, a Stockhead advertiser at the time of publishing.

This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.