Phorm Finds Its Latest Funding – £2 Million In New Shares

Only last week, Phorm said it would try to raise money for its Brazilian operations alone, rather than risk diluting its London holding company’s stock.

But today the controversial ad targeting firm says it’s found an extra £2 million – by placing new shares in that same holding company through the London Stock Exchange.

Phorm says it has issued 1,176,000 new common shares at £1.70 each in its AIM-listed company, saying it will use the money to “continue the implementation of its service in Brazil and other future markets, and for general working capital purposes, as the Company continues its discussions with ISPs internationally”.

At Phorm’s current rate of spending ($2.2 million a month), and after you strip out expenses associated with the listing, this is basically one month’s extra funding for the company.

We make it Phorm has now raised £53.96 million in the last five years

Jul 05 – £1 million
Feb 06 – £2.4 million
Feb 07 – £2.56 million
Mar 08 – £32 million
Jun 09 – £15 million
Jul 10 – £2 million

… Investors in those previous rounds are now watching their stake size reduce as more shares are issued.

Phorm only sent its first invoice for income in the last few months and slimmed annual losses from 2009