While more regulatory approval still has to be sought for the NFT Investments and Pluto Digital deal, the former company’s shares which are trading on the AQSE Growth Market will be suspended temporarily until the discussions are finalized.
NFT Investments (AQSE: NFT), a blockchain incubator with a specialization in Non-Fungible Tokens (NFTs) has announced its plans to acquire Pluto Digital, a crypto venture firm for £96 million. While the deal is yet to be ratified by regulators and all relevant stakeholders, it comes off as one of the most complicated in terms of outlook, as Pluto Digital will eventually hold the majority stake in the combined entity that will be established.
The merger-like acquisition is a thoughtful one as Pluto Digital is pioneering the development of revolutionary NFT protocols, as well as those that define growth pace in the decentralized finance and metaverse industries specifically. Pluto Digital has a robust presence in the ecosystem as it has not just released a DeFi token which is trading on global crypto exchanges in the past year, it established a venture capital arm, Pluto V, which made investments in a range of Web3 projects and NFT assets which performed well in 2021 according to the report by the company.
The combined entity will now help push forth the frontiers of NFT and gaming-related innovations in various markets.
“We are very excited about the prospects of Pluto and NFT merging to create a large global metaverse company. This is a transformational deal that will provide us with the scale to expand and diversify our investment portfolio in a rapidly growing sector and thereby create long-term value for shareholders,” said Jonathan Bixby, Executive Chairman of NFT Investments.
Per the agreement drawn-out, NFT Investments will acquire 100% of the shares of Pluto Digital for approximately £96 million. Per the press release, “the acquisition will be a reverse takeover of NFT under the AQSE Rules and will be subject to the UK Takeover Code.” When completed, Pluto Digital shareholders will own as much as 70.5% of the new business entity. Three of Pluto Digital Executives will join the new firm as directors while Bixby will continue in his role as Chief Executive.
NFT Investments Shares Trading Halted Temporarily
While more regulatory approval still has to be sought for the NFT Investments and Pluto Digital deal, the former company’s shares which are trading on the AQSE Growth Market will be suspended temporarily until the discussions are finalized.
The strength of the new entity that will be formed is arguably hinged on its current diversified stake in established projects, as well as the experienced team behind both companies. While Jonathan Bixby is amongst the co-founders of publicly-traded Argo Blockchain Plc (LON: ARB) whose stock is one of the most traded by Fidelity Investments customers in 2021, Pluto Digital has a number of ongoing partnerships that will further help solidify the stake of the new venture.
Benjamin Godfrey is a blockchain enthusiast and journalists who relish writing about the real life applications of blockchain technology and innovations to drive general acceptance and worldwide integration of the emerging technology. His desires to educate people about cryptocurrencies inspires his contributions to renowned blockchain based media and sites. Benjamin Godfrey is a lover of sports and agriculture.
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