Helios and Matheson Analytics Inc (OTCMKTS:HMNY), the parent company of MoviePass and MoviePass Films, said Tuesday that it has raised $6 million in a new round of financing.
It plans to use the funds to advance product development for its MoviePass subscription business as well as fine-tuning its technology and ratcheting up its investment in new films.
“Our long-term vision is for MoviePass to be the nation’s most popular movie-theater ticketing platform,” Helios CEO Ted Farnsworth said in a statement. “We are building the infrastructure, data and tools that we believe will power the next generation of MoviePass.”
READ: Helios and Matheson CEO touts MoviePass member perks as the unlimited subscription plan returns
Under the financing’s terms, Helios forged agreements for the purchase by institutional investors of 60,000 preferred shares, which are convertible into shares of common stock and accompanying warrants to buy almost 60,000 preferred shares.
Excluding options and warrants, Helios and Matheson owns 92% of the outstanding shares of MoviePass Inc, the movie-theater subscription service. It holds 100% of the outstanding membership interests in MoviePass Ventures LLC and 51% of the outstanding membership interests in MoviePass Films LLC.
Helios and Matheson shares traded at $0.0067 in Tuesday's OTC Markets trading.
Contact Ellen Kelleher at [email protected]