China is currently observing a week-long national holiday, but technology investments are hard at work, especially in the virtual reality sector.
Hong Kong-listed visual effects content producer Digital Domain Holdings Ltd. has brought on strategic investors CITIC Ltd. and SoftBank China Venture Capital, who each invested HK$190 million to expand the virtual reality services of the company.
The two investment firms and a private investor named Zheng Hao Investments Ltd. acquired HK$84 million, HK$84 million and HK$22.512 million worth of convertible notes issued by Digital Domain, respectively. After full conversion, CITIC, SBCVC and Zheng Hao will hold approximately 9.69%, 9.69%, and 2.60% of the enlarged issued share capital of the company.
Digital Domain has aggressively developed its virtual reality capabilities, including graphic imagery creation, 360-shooting hardware and software to create unique virtual reality content.
The subscription shares represent approximately 3.06% of the existing issued share capital and approximately 2.97% of the enlarged total share capital.