THE INFORMATION CONTAINED WITHIN THIS ANNOUNCEMENT IS
DEEMED BY IAMFIRE PLC TO CONSTITUTE INSIDE INFORMATION AS
STIPULATED UNDER THE MARKET ABUSE REGULATION (EU) NO. 596/2014, AS
AMENDED ("MAR"). ON THE PUBLICATION OF THIS ANNOUNCEMENT VIA A
REGULATORY INFORMATION SERVICE ("RIS"), THIS INSIDE INFORMATION IS
NOW CONSIDERED TO BE IN THE PUBLIC
DOMAIN.
IamFire plc
AQUIS: FIRE
(“FIRE”, “IamFire” or the
“Company”)
WeShop
Update
Extension of Discounted Capital
Bond
IamFire plc is pleased to provide an update on
progress within its primary portfolio company, WeShop Holdings
Limited (“WeShop”), showing an increase of 118% annualised sales
figures through the platform for the 3 months ended August 2023 compared to the 3 months ended
May 2023.
As announced on 20 June
2023, FIRE’s holding in WeShop has a see-through value of
£22.5m based on WeShop’s last fundraise at £4.76 per share and
assuming that the Convertible Loan Notes outlined below convert to
equity. Taking in to account a Discounted Capital Bond
liability of around £5.5m, the £17m equity value equates to a net
asset value (“NAV”) per share in FIRE of around 4.9p per share from
this investment holding alone.
IamFire is also pleased to announce that it has
extended the Discounted Capital Bond (“DCB”) with Hawk Investment
Holdings Limited until 24 November
2023.
WeShop Update
Highlights
-
£72m Annualised Gross Merchant Value (“GMV”) based on
£18m of sales in the 3 months to 31 August 2023. 118%
increase on the 3 months to 31 May
2023 figure (£33m).
-
Over 315,000 total purchases through the platform to
date, an increase of 75% since 31 May
2023 (c.180,000).
-
£38.1m of cumulative sales through the platform
as at 31 August 2023, an increase of
89% since 31 May 2023
(c.£20.1m).
-
Over 290,000 user downloads for the WeShop platform
as at 18 September 2023, an increase of 26% since 31 May
2023.
-
New online retailers are being added to the platform
on a continuous basis, with recent additions including Temu.com,
one of the US and UK’s fastest growing eCommerce platforms, TUI and
Savage x Fenty by Rhianna.
For ease of reference the figures above are contained
in the following table:
|
|
31-May-23 |
31-Aug-23 |
%
change |
|
Annualised GMV (£M)
(trailing 3 months) |
33.0 |
72.0 |
+118% |
|
Cumulative GMV (£M)
(end-period) |
20.1 |
38.1 |
+89% |
|
No. of Transactions
(end-period, cumulative) |
180,000 |
315,000 |
+75% |
|
User Downloads
(end-period, cumulative) |
230,000 |
290,000* |
+26% |
Richard Griffiths,
Chairman of WeShop Holdings
Limited said:
“The growth of WeShop over the last 3 months
continues to validate the proposition the company was founded
on. We are witnessing consistent and sustained increases in
users, transaction value through the platform and the benefits that
users gain through referrals to their own social networks.
Our marketing channels are reaping real rewards in terms of
increasing the brand’s exposure and we continue to attract leading
social media influencers to WeShop, who in turn help to attract
further users from their follower groups. Our growth momentum
continues to accelerate and the focus remains on pursuing this
relentlessly as we build the world’s first shoppable social network
that will be owned primarily by its user
community.”
IamFire Investments in WeShop and Community Social
Investment Limited
(“CSIL”)
IamFire currently holds £6.85m of Convertible Loan
Notes (“CLNs”) directly in WeShop. It also holds the
right to subscribe for a further £0.9m in CLNs. Should the
current CLNs convert, it would result in FIRE holding some
2,758,333 shares in WeShop (prior to any further CLN
subscription).
IamFire also holds approximately 23.6% of the issued
share capital of CSIL which in turns holds 8,333,333 shares in
WeShop as its only asset. FIRE believes that these shares
will be distributed in specie to CSIL shareholders in due
course.
The aggregate holdings of IamFire in relation to
WeShop and CSIL are outlined in the following
table:
|
Instrument |
Amount
Held |
Conversion
Price |
Conversion
Date |
Notes |
|
CLN in
WeShop |
£4m |
£3 per share in
WeShop |
18 May
2024 |
Convertible into 1,333,333
shares in WeShop |
|
CLN in
WeShop |
£2.85m |
£2 per share in
WeShop |
18 May
2024 |
Convertible into 1,425,000
shares in WeShop. £0.9m capacity remaining in CLN
option. |
|
Equity Holding in
CSIL |
2,452,675
shares23.5% of CSIL issued share
capital |
|
|
CSIL holds 8,333,333
shares in WeShop. In specie distribution would result in
approx. 1,950,000 shares in WeShop to
IamFire |
There are currently 28,669,415 shares in issue in
WeShop. Should the CLNs in the table convert and CSIL
conducts a distribution in specie of its WeShop shares, then
IamFire would hold approximately 4,718,333 shares in WeShop
representing some 15% prior to any further share
issuance.
Based on the most recent fundraise in WeShop outlined
above the value of the resultant IamFire holdings in WeShop would
be £22.5m.
Extension of DCB
IamFire plc is has extended the Discounted
Capital Bond ("DCB") with Hawk Investment Holdings
Limited ("the Bondholder") until 24 November
2023.
As announced on 27 August 2020, Fire entered
into the DCB with the Bondholder pursuant to the terms and
conditions of the DCB agreement. The Bond was due to expire
on 25 September 2023 following a
previous extension as announced by the Company on 30 August 2023.
The Directors of the Company accept responsibility
for the contents of this
announcement.
REGULATORY ANNOUNCEMENT
ENDS
Enquiries:
Company:
info@iamfireplc.com
Peterhouse Capital
Limited
Corporate Adviser:
Guy Miller: + 44 (0)
20 7220 9795 (Direct)
Narisha Ragoonanthun: + 44(0) 20 7220 9794
(Direct)
Corporate
Broker
Tennyson Securities
Limited
Peter Krens: +44 (0) 20 7186 9033
(Direct)
About WeShop:
WeShop is a social commerce platform that allows
users to shop and help each other by reviewing, asking about or
recommending products. It is affiliated to the vast majority of the
UK’s top 1,000 online retailers. Instead of rewarding the
users with cashback, discount codes or vouchers, WeShop allows
users to earn shares in the business.
WeShop intends to be 90% owned by its community of users, so the
more users shop, recommend and refer friends the more shares they
will own in WeShop and the more they will share in its financial
success. Users of WeShop buy products from retailers through
the platform, as they would normally, but in doing so they will
earn shares in WeShop and benefit from aggregation as a community
and the revenue streams generated from affiliate programs, data,
promotion and advertising that the community through WeShop will
generate.
WeShop intends to be the first truly shoppable social network owned
by its community of users. By creating a disruptive online
model it hopes to create a retail revolution which shares the
financial success of online businesses with the users of those
online businesses whose data, transactions and engagement has
created them in the first place.
The App can be downloaded at
www.we.shop
Links to recent press coverage of SoccerAid can be
found at:
https://we.shop/socceraid-weshop-2023/
https://www.sportindustry.biz/news-categories/news/soccer-aid-scores-weshop-partnership/