Hugh D Warner
QUARTERLY ACTIVITIES REPORT
FOR THE QUARTER ENDING 30 SEPTEMBER 2015
MSM Corporation International Limited (formerly Minerals Corporation Limited) (the Company or MSC) is pleased to provide shareholders with the following quarterly activities report for the September quarter.
Megastar Millionaire Strategic Partnership with Digital Riot
During the quarter the Company advised that Megastar Millionaire Pty Ltd (MSM) had concluded a strategic investment in Digital Riot LLC (formerly named Social Media Studios) (Digital Riot), a US based 'Pure Play' social media emerging artist studio. The investment made by MSM (which the Company is acquiring), provides MSC with leverage to a highly disruptive, data driven, internet and mobile first platform, for a minimal outlay of US$50,000.
Megastar Millionaire Strategic Investment in ToneDen
During the quarter MSM also concluded a strategic investment in ToneDen, a US (Berkeley, California) music technologies platform.
ToneDen, a music creation software platform, based in Berkeley, California, USA is a platform to help millions of artists connect directly with their fans online. In approximately 9 months, ToneDen has grown to support over 100,000 creators that use its technology to promote their music and better engage their audiences. ToneDen works with over 500 digital establishments to better understand and grow artist reach online. ToneDen's mobile platform provides fans with a direct point of contact with the artists they love, allowing them to keep up to date with new music and easily share that with their networks.
MSM and ToneDen intend to build a best-in-class competition and connection platform that allows for the creation, aggregation, community build and commercialisation of the music ecosystem by adding value to the relationships that drive the industry today. Given ToneDen has secured more than 100,000 emerging artist in less than 1 year, MSM intends to capitalise on the proven technologies that ToneDen shall offer for MSM.
MSM committed a total of US$300,000 for a 5.1% equity interest in ToneDen. An initial US$100,000 payment was made in August 2015, with the balance (US$200,000) being paid in a combination of cash and shares within 30 days following the Company's recompliance with chapters 1 and 2 of the ASX listing rules.
John Baldecchi to Join MSM Advisory Board
Subsequent to the quarter on 7 October 2015, the Company advised that MSM had appointed Mr John Baldecchi to the MSM US Advisory Board. Mr Baldecchi is a notable Hollywood producer, having worked with most major Hollywood Studios including; Sony, Warner Bros., FOX, Disney and Dreamworks. Included among Mr Baldecchi's film projects are; The Mexican, Conan the Barbarian, 88 minutes and, coming Christmas 2015, the re-make of Point Break. He is a graduate of the University of California, Los Angeles.
'We are extremely pleased to have secured the services of an experienced entertainment industry veteran such as John to join MSM US and provide insight, experience and leadership to further our collective goals. John's tenure within the movie-making industry, as well as forays into the social media
1
entertainment space with other like-minded businesses (along with Doug Barry, MSM's US Chairman- elect), makes John an ideal partner in Megastar Millionaire.' stated Dion M. Sullivan, Managing Director/CEO elect for MSM Corporation International.
Michael Pole to Join MSM Advisory Board
Further, on 12 October 2015, the Company announced that MSM had appointed Mr Michael Pole to the MSM US Advisory Board. Mr Pole is notable Senior Digital Gaming Executive based in Los Angeles, California, USA. Michael has held senior level management positions with some of the industry's most successful video and mobile game companies including; Nexon, gloops, Electronic Arts, Fox Interactive and Vivendi Universal Games. Michael's games have sold more than 40M units and generated more than a billion dollars in revenue. He is a graduate of California State University - Northridge.
Engagement of CPS Capital as Lead Manager
Subsequent to quarter, the Company announced the appointment of CPS Capital Group Pty Ltd (CPS) as the Lead Manager to the Company's Prospectus, as part of the acquisition of MSM (Public Offer). CPS has provided the Company with a firm commitment for $4 million of the $7 million under the Public Offer, thereby significantly reducing the transactional risk of the acquisition.
Under the Mandate with CPS, the Company will pay CPS a management fee of 2% of the total funds raised under the Public Offer. In addition the Company will also issue CPS with up to 14 million unlisted options in the Company, with an exercise price of $0.10 and an expiry date of 7 November 2019.
MSC further advised that the deadline date to satisfy all conditions precedent under the share sale agreement between MSM and the Company has been extended from 2 October 2015 to 31 December 2015.
Corporate
Shareholder Approval to Acquire Megastar Millionaire
On 7 October the Company held its extraordinary general meeting, with shareholders approving the various resolutions associated with the acquisition of Megastar Millionaire and the Public Offer.
Company Secretary Appointment
During the quarter the Company announced the resignation of Mr Samuel Edis as Company Secretary. Non-executive director, Matthew Foy, replaced Mr Edis.
Next Steps
The Company is currently finalising a Prospectus to raise $7 million as part of the acquisition of MSM, via way of issuing 116,666,667 Shares at a price of $0.06 each. The Company expects to close the Public Offer within 3 weeks of lodgement of the Prospectus, and for re-compliance of the ASX Listing Rules to occur in late-November.
Ends. Matthew Foy
Director & Company Secretary
Schedule 1
Mining Tenements held as at 30 September 2015
% Interest
|
Tenement
|
Location
|
Held at end of quarter
|
20%
5%
5%
5%
|
EPM 4068
EPM 18 242
MDL 423
MDL 425
|
Skardon River, QLD
|
Acquired during the quarter
|
-
|
-
|
-
|
Disposed during the quarter
|
-
|
-
|
-
|