The Company was admitted on 11 January 2022 following a successful placing of 40,000,000 ordinary shares at £0.03 per share, raising gross proceeds of £1,200,000, before expenses. On admission, the Company had an approximate market capitalisation of £1.74 million at £0.03 per share.
Electric Guitar was established in 2021 as a special purpose acquisition vehicle which will seek an acquisition target in the digital media sector. The Company intends to act as a consolidator and operator in the digital advertising market.
While there has been some activity to date within the large capital advertising market, with the focus of legacy agencies increasingly on digital advertising solutions, less attention has been paid to the smaller agencies. The directors have identified an opportunity to invest in these agencies with few or no legacy issues with technologies that can provide alternative strategies.
In light of the above, the directors believe that there is a significant commercial opportunity in the digital advertising sector as advertisers and their customers explore different ways to reach their target audiences in the disrupted market.
BDB Pitmans’ corporate partner Oliver Pilkington led the team, supported by associate Daniela Munro and solicitor Angelina Mikelova.
Upon the Company’s admission, Pilkington said: “As special purpose acquisition companies (SPACs) continue to gain momentum in the UK market across many sectors, we are pleased to announce the successful admission of new client Electric Guitar Plc to the Main Market – assisting to raise funds to further its growth in the burgeoning digital media industry.”