Gfinity PLC (AIM:GFIN) has announced a restructuring of its board and operations ahead of a refinancing to reset its operations.
Neville Upton returns as executive chairman with current chief executive John Clarke leaving the group, while chief financial officer Jonathan Hall takes on responsibility for Esports Solutions.
Gfinity added that to continue to fund its investment in Athlos, its game tech platform, it is looking to raise £1.5mln through an equity raise and subscription.
This will give it headroom to “complete the proposed corporate restructuring, secure the planned external investment into Athlos over the next few months and take the business through to break-even point,” the company said in a statement.
Gfinity noted that trading had remained strong in recent months with revenues in the half year to end December 2022 at £4.1mln, up 26% from a year earlier and double the preceding six months. Adjusted operating losses will be £0.8mln, a 47% reduction from the previous six months.
Athlos has delivered a 'highly successful' beta programme with one of the world's largest mobile game publishers, it added, and has two further betas ongoing in 2023.
In January, Gfinity announced that Athlos was to be integrated into Playgendary mobile games under a one-year rolling contract.
Playgendary is a global top-10 mobile game developer and publisher of games including Bowmasters, Tomb of the Mask and Kick the Buddy.
Gfinity said it is seeking outside investment in Athlos to help consolidate what it sees as a first-mover advantage.
Discussions with several parties are underway with a view of taking a direct investment in the Athlos and reducing the cash cost to Gfinity, which will retain a significant stake in the platform.
Elsewhere, Gfinity said digital media was affected by an algorithm adjustment in September but has since recovered to 13mln monthly unique visitors.
In Esports, a partnership has been set up with a US business to deliver solutions on a profit-share basis, with the Gfinity Arena in Fulham to close.