Animoca Brands Corporation Limited, a distinguished player in the venture capital realm of metaverse and gaming, is set to forge a strategic partnership with the NEOM Investment Fund of Saudi Arabia. This collaboration is poised to steer Web3 initiatives in alignment with the Saudi Vision 2030 plan, a significant endeavor geared toward technological advancements in the region.
The NEOM Investment Fund, an integral part of the NEOM project, which envisions a groundbreaking urban development in northwestern Saudi Arabia, spanning technology, trade, entertainment, and tourism, has proposed a substantial investment of $50 Million in Animoca Brands. This significant development was officially announced on Monday, underlining the ever-growing importance of Web3 technology in the global landscape.
Out of the $50 Million investment, $25 Million will be allocated through the issuance of convertible notes at a conversion cap price of $4.50 per share, employing terms closely aligned with the strategic funding round disclosed by Animoca Brands in September 2022.
The remaining $25 Million will be directed towards the purchase of the company’s shares on the secondary market.
In this strategic partnership, Animoca Brands will collaborate with NEOM to establish Web3 enterprise service capabilities, designed for global commercial applications. These capabilities will catalyze technological progress in Riyadh and the broader NEOM region.
The ambitious projects on the horizon include the establishment of a hub within NEOM, fostering the growth of the local Web3 ecosystem, and leveraging the extensive expertise and resources from Animoca Brands, its subsidiaries, partners, and a diverse portfolio of investments.
The execution of definitive documents about the Convertible Notes Financing is contingent on the fulfillment of several conditions precedent, emphasizing the intricacies of this monumental partnership.
Majid Mufti, CEO of NEOM Investment Fund, expressed enthusiasm for this groundbreaking collaboration, stating that Web3 technology and infrastructure development will have the potential to revolutionize global industries in addition to being an important foundation of NEOM’s tech stack and architecture.
He emphasized that this partnership with Animoca Brands aims to accelerate Web3 technology development and adoption, aligning closely with the ambitious vision of the NEOM project.
Yat Siu, the co-founder and executive chairman of Animoca Brands, welcomed the collaboration, noting that the partnership is excited to receive investment from NEOM, one of the world’s most ambitious projects seeking to use innovation and technology to redefine how we live, work, and play.
Siu underscored the transformative potential of the Web3 ecosystem, likening its growth to the emergence of a new meta-nation, with NEOM poised to be at the forefront of harnessing the power of blockchain technology.
Animoca Brands’ pivotal role in the metaverse and gaming venture capital sector, coupled with NEOM’s visionary urban development project, set the stage for a paradigm shift in the technological landscape.
The collaborative efforts between these two entities signal a growing momentum in the Web3 venture capital sector, suggesting a thaw in the crypto winter and renewed optimism in the digital frontier.
The impact of this partnership on the evolving Web3 ecosystem will be closely monitored as the global community anticipates the transformative possibilities it may unlock.
Nancy J. Allen is a crypto enthusiast and believes that cryptocurrencies inspire people to be their own banks and step aside from traditional monetary exchange systems. She is also intrigued by blockchain technology and its functioning.
Source: https://www.thecoinrepublic.com/2023/10/31/animoca-brands-gets-50m-from-saudis-neom-for-web3-development/