Helios and Matheson Analytics Inc (NASDAQ:HMNY) recently announced that it has acquired more ownership in the premier movie-theater subscription service of the nation, MoviePass™. The company known for providing information technology services and solutions is already a majority owner of MoviePass™ and with this new extension, its total ownership including the outstanding shares of MoviePass’ common stock (that excludes shares underlying MoviePass options and warrants) is now around 78%.
HMNY has provided cash advances to MoviePass time to time from December 19, 2017, through February 15, 2018, which ultimately led to rise in the ownership of the company’s stake in MoviePass. These cash advances were made by HMNY for providing support to MoviePass for fulfilling the working capital and operational requirements and also to support the business expansion plans and objectives of the movie-theater subscription service.
The total amount given in the form of cash advance by Helios to Moviepass during the above mentioned period comes to around $45, 525,000. Helios recently also announced that following its previous announcement related to the public offering of Series A-1 and Series B-1 Units until February 15, 2018, HMNY has 37,889,587 shares of its common stock issued and outstanding.
HMNY Capital Investment Fuels MoviePass Growth
According to Mitch Lowe, CEO of MoviePass, the capital investment of Helios has fueled the growth of his company to around 2 million subscribers which has enabled the company to move closer to its vision of transforming the movie industry. Lowe stated that his company’s goal has always been to drive more people to the movies and reinvigorate the entire ecosystem that includes studios, theaters, and distributors.
Lowe also said that the relationship of MoviePass with Helios makes it possible for his company to fulfill all these objectives and goals. The CEO of HMNY, Ted Farnsworth said that they could not be more thrilled to hold a bigger stake in MoviePass as MoviePass phenomenon have become a major disruption to the entertainment industry and that this partnership continues to be a great benefit to both Helios and Movie pass shareholders.