Blippar appoints administrators after failing to reach funding deal
Blippar has appointed administrators after failing to find additional funding, following a dispute between investors Nick Candy and Malaysian sovereign wealth fund Khazanah.
Earlier this month, reports surfaced that Blippar’s board had warned shareholders that Khazanah had blocked £4m of emergency fundraising. It said as a result the company had been left with “no current option other than to give notice to start insolvency proceedings”.
However, investors in the London-based tech firm pressed ahead with emergency talks last week in an effort to resolve the dispute and secure funds.
Those talks failed and it announced today (17 December) it has now stopped trading and appointed administrators David Rubin & Partners.
“The appointment of administrators has arisen effectively as a result of an alleged dispute over continued funding," Paul Appleton, partner at David Rubin & Partners said.
"Following their appointment, the administrators are now exploring all possible options for the future of the business for the benefit of all stakeholders.”
Founded by in 2011 by Ambarish Mitra and Omar Tayeb, at its height Blippar was valued at £1bn and employed more than 300 people.
But losses amounted to £35m in 2017, forcing it to shutter its Silicon Valley offices that year.
It is thought some 75 people still worked at the company at the time of its administration.