Photo Credit: Solen Feyissa
One month after announcing a “substantial” funding round ahead of a planned Q4 2022 IPO, TikTok rival Triller says that it’s secured “a binding $310 million investment.”
Triller, which settled a $28 million lawsuit with Verzuz creators Timbaland and Swizz Beatz last week, reached out to Digital Music News with word of the $310 million tranche today. Luxembourg-based alternative investment group Global Emerging Markets (GEM) will front the capital, according to Triller, which won’t be obligated to draw the entirety of the sum “but can do so in part or in whole at its discretion.”
Moreover, the “share subscription facility” will see Triller issue stock to GEM each time that it draws capital, and the lending entity will likewise receive stock warrants, “further aligning the interests of the companies,” per higher-ups. The arrangement is expected to span three years from the date of Triller’s IPO, which is still poised to arrive in “early Q4,” the video-sharing platform indicated.
Regarding the potential uses for the up to $310 million windfall, Triller – which is facing multiple lawsuits, including a copyright infringement action from Sony Music – “will be able to make additional acquisitions to strengthen its toolbox for the creator community and reach breakeven or profitability in the short-term,” company officials relayed.
Ahead of its quick-approaching initial public offering, Triller also took the opportunity to tout the relative profitability of its operations, referring specifically to eight business lines (of 10 total divisions) that “are at break-even or profitable.”
Plus, Triller (which owns FITE.tv, Bare Knuckle Fighting Championship, Amplify.ai, and the aforementioned Verzuz, to name some) is “on track to break $100 million in revenue this year,” chairman and CEO Mahi de Silva said.
“As an open garden, our goal is to put the power back in the hands of the creators and users, allowing creators and brands to connect directly,” proceeded Mahi de Silva, whose company ostensibly “effectuates 750 million interactions” quarterly. “We provide tools to maximize those connections and how well each can be monetized. In addition, looking at the number of interactions we facilitate helps us to forecast future revenue since each one of those is a potential transaction fee for us.”
Triller isn’t the sole short-form player looking to overtake TikTok by putting “the power back in the hands of the creators,” for YouTube Shorts could reportedly share as much as 45 percent of ad revenue with on-platform content professionals – a potentially significant point given the reportedly miniscule creator payments offered by TikTok.