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Administrators at lesbian dating app team Iconic accused of leaping ship and leaving collectors in the lurch

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Dating app directors accused of leaving creditors in the lurch
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his post is the subject of a lawful complaint.

The directors of a media business guiding youth web-sites and the lesbian dating app HER ended up nowadays accused of leaping ship to an linked enterprise, leaving shareholders and creditors out of pocket.

Expenditure fund EHGO now called for them to remedy for their actions to British isles regulators or a court docket of legislation.

The row is more than a loan EHGO made to Aim-outlined Iconic Labs, which it then lent on to a third firm established up by Iconic’s controversial previous manager David Sefton. The mortgage was manufactured so Sefton’s company could buy a organization called JOE Media, which Iconic would then run less than agreement.  

At first, EHGO claims it was at ease with the on-personal loan mainly because it retained the suitable to convert it into Greencastle shares, giving it protection.

Nonetheless, EHGO alleges Iconic’s directors broke that settlement.  

Authorized action adopted, in the center of which, final week, the trio stop Iconic to do the job with Sefton at Greencastle.

Greencastle then severed Iconic’s administration arrangement around JOE.

The result, EHGO states, is that Sefton’s firm has ended up with the journal and the administration workforce whilst the mortgage that paid for it continues to be with Legendary. Iconic’s shares are now successfully worthless, leaving EHGO worrying about having its funds back.

EHGO reported: “It would feel the only functions who benefited from the amendments to the Greencastle agreement … have been David Sefton and, now they have remaining, John Quinlan, Liam Harrington and Sam Asante.”

EHGO additional: “These moves therefore seem to us to have been pre-planned in get to give the directors a lifeboat on which to bounce ship to Greencastle and elevate important problems about the directors’ compliance with their fiduciary duties as directors of Legendary.

“This follows their stewardship of Iconic in which they presided in excess of massive benefit destruction for shareholders and a collapse in the share rate of the firm, leaving the business in an just about worthless condition with substantial debts owed to its creditors. 

“This whole episode raises important issues about their perform and the perform of David Sefton, questions which we count on they will now be necessary to response, no matter if in court docket or by the ideal regulatory authorities.”

The trio of directors stated they had resigned due to the “stalemate” in negotiations with EHGO and an activist trader. They stated that in their time there they experienced attained a significant turnaround for the organization.

Sefton give up as chief government of Legendary in 2019 soon after allegations about his conduct at an African oil corporation, which he denied.

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Citymapper crowdfunding marketing campaign soars previously mentioned £1 million concentrate on elevating £6.7 million in 24 several hours

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Citymapper launches first ever crowdfunding campaign and reveals expansion plans
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ity navigation application Citymapper unveiled on Friday that its 1st at any time crowdfunding round has elevated £6.7 million from retail buyers in just 24 hours.

The app, which ran the exertion on funding web-site Crowdcube, soared previous its £1 million concentrate on, securing the income from 9,000 investors spanning 80 nations around the world.

App basic manager, Bill Earner, who joined the start off-up in 2020 from the app’s London-based mostly VC Connect Ventures, informed the Normal “it was exciting and humbling to actually exceed our expectations”.

The get started-up, released in London in 2011 by former Google worker Azmat Yusuf as a way to locate out the best methods to navigate the funds on general public transportation, operates in 80 cities all over the earth and has over 50 million people.

It has raised £45 million from investors including Index Ventures and Balderton Capital to day, like new money from institutional investors last 12 months, and recorded a decline of practically £9 million on revenues of £5.8 million in 2019.

Its leadership had at first planned to start the crowdfunding spherical past spring, but delayed the shift when the pandemic strike and cities all around the environment ground to a halt. Citymapper admitted to potential buyer traders that at one stage previous yr approximately 90% of its end users stopped travelling.

The crowdfunding webpage explicitly instructed readers to “be sure to be informed that investing in startups is dangerous”.

The app stated its groups experienced spent the pandemic investing “in walking, cycling and micromobility, together with turn by transform instructions and voice navigation” – adding that it believes “it is a subject of time right before mobility will return”.

Ahead of the increase Earner mentioned he felt now was “a superior time to start” a crowdfunding spherical as metropolitan areas like London commence to bounce again, and immediately after executives have viewed metropolitan areas with low Covid prices and limitations, this kind of as Singapore, recover.

Citymapper provides a journey card, which expenditures £33 a month and gives limitless general public transportation in sections of London, and a “Club” perform which prices £2.99 per month.

Earner stated Citymapper ideas to use the newfound cash on many initiatives – including discovering “company alternatives”.

He stated: “We’ll continue on to develop our city protection, what we phone Citymapper Everywhere, with a aim of masking the most sizeable cities in the entire world.

“We have produced greatest-in-course technology in routing, transportation knowledge applications, and person interfaces. We want to make that know-how offered to other companies, so we are going to go on to make out that capability.

“We’ll proceed to make improvements to Pass, introducing options, integrating a lot more transport modes, and discover international expansion and corporate and business possibilities.”

It will come as fellow tech startup Curve also pursues a £1 million Crowdfund. Fintechs together with Monzo and Revolut have also accomplished crowdfunding rounds, which are thought to increase client retention and engagement.

Curve has raised £132million because launching in 2015, with with its Collection C fundraising securing £72.5 million this yr.

This week founder Shachar Bialick informed the Typical crowdfunding “makes it possible for us to improve evangelism in just our purchaser foundation”.

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