Live Company Group PLC (AIM:LVCG) said it plans to raise fresh funds through a conditional placing and to buy the remaining shares in Start Art Global Ltd.
In a statement, the company said it will be selling 15mln shares at 4p each in order to raise funds of £600,000.
£480,000 will be used as working capital as well as towards the expansion of KPOP, BRICKLIVE and LCSE, the sports entertainment branch of the business.
The remaining £120,000 will be used as the initial cash consideration for the purchase of Start Art, an e-commerce art platform, in which Live Company already has a 19.94% stake.
Terms for the sale have already been agreed and Live Company will purchase the remaining 80.06% of shares for a maximum amount of £4mln.
Live Company added that the new funds will strengthen the “balance sheet and develop the Kpop.Flex brand” with events secured in London and Frankfurt and discussions for further locations ongoing.
A broker option, allowing subscriptions of up to £400,000 on the same terms as the placing will also take place for shareholders and investors who missed the placing to invest, with priority given to the current shareholders.
Both the acquisition and fundraising are conditional on passing the resolutions put forward to the shareholders at the end of this month, the company noted.