Phorm Arranges £30 Million Equity Placing

Oct 25, 2011

Phorm, Inc. arranged an equity placing of approximately £30 ($47.7 U.S.) million which will be used in part to repay a £16 ($25.44) million convertible-notes loan it took out in March. According to paidContent, the rest will be used to cover operational costs and work towards positive cash flow. Phorm's operational costs are expected at £1.1 ($1.75) million per month over the next year.

Since 2005, Phorm has borrowed a total of nearly £100 ($159.01) million. It had not recorded any revenue until this year, earning $17,336 (£10902.53) between January 1 and June 30, but reporting a $19.6 million loss in the same time frame.

Phorm provides content and advertizing solutions by personalizing web experiences for each ISP (Internet Service Provider) customer. The aim is to increase advertising rates for publishers and click-throughs for advertisers.