Heroic fail to raise sufficient funds

Yesterday, a general extraordinary meeting was held by Heroic as the company indicated they needed NOK 80 million ($7.5M USD) in order to sustain business operations until the end of 2025 and that they needed a minimum of NOK 10 Million ($938,420 USD) before summer 2023.

The company first attempted to raise between NOK 12 Million ($1.14 million USD) and NOK 20 Million ($1.9 million USD) at 2 NOK ($0.19 USD) per share during the call to action on March 13th. During the meeting yesterday, Heroic adjusted their fundraising attempts down to between NOK 8 million ($759,944 USD) to NOK 15 Million ($1.4 Million USD) with the share price set to NOK 1 ($0.095 USD) or higher.

Heroic has not had the easiest time since its IPO in February 2021. With an initial share price of NOK 19.76 ($1.85 USD) the company has seen its stock tumble to just pennies as it is now NOK 0.80 ($0.075 USD).

Omaken Esports, which acquired Heroic in February 2021 also raised approximately NOK 150 Million ($14.0M USD) at the same time frame. The company was well known in the PlayerUnknown Battlegrounds space, but recently departed the title stating that it was "no longer sustainable for the organization."

According to notices filed, in 2021 the company saw a preliminary loss of NOK 25 Million ($2.3M USD) over their accounts for Heroic AS and Heroic Group AS. The combined cash balance for the two companies was approximately NOK 37.5 Million ($3.5M USD) by year-end 2021.

There has been another extraordinary meeting called for March 27, 2023 as the group continues to look for fundraising opportunities in this "esports winter" climate.