Mdundo to list its shares on the Nasdaq First North Growth Market in Denmark

Mdundo to list its shares on the Nasdaq First North Growth Market in Denmark

Mdundo.com, a music platform service providing Africa with easy and affordable access of music is listing its shares on the Nasdaq First North Growth Market Denmark starting 4th September 2020 following an oversubscribed pre-sale period that raised DKK40 million (US$6.4 million).

According to a statement on MarketScreener.com, the tender was closed as scheduled on 28 August at 23:59. Mdundo.com has received subscriptions from 2,914 investors for a total of 8,428,731 shares.

The company’s offering of up to 4,000,000 new shares at an offer price of DKK 10.0 per share was, thus, fully subscribed, which gives Mdundo.com gross proceeds of DKK 40.0 million. and a market value of DKK 102.0 million.

In a  statement by Mdundo.com, Martin Nielsen who is the CEO of mdundo said that despite only marketing the IPO in Denmark, the company has since received inquiries from investors in Sweden and the rest of the world. However, they have had limited opportunities to subscribe for shares and are therefore now looking forward to investors outside Denmark also being able to trade the share from Friday and onwards.

The first day of trading on Nasdaq First North Denmark is expected to be 4 September 2020 under the symbol “MDUNDO”.

Launched in 2013, Mdundo provides access to all the continent’s favourite music to over five million monthly active users in 15 countries in Sub-Saharan Africa, with over 20 million monthly downloads and streams via its website and app.

The company’s main markets are Kenya, Tanzania, Uganda, Nigeria and Ghana, with an increasing focus on Zambia, Zimbabwe, Mozambique, Angola, Rwanda, Cameroon, Congo, Malawi, South Africa and Namibia, and it has now decided on an initial public offering in Denmark, where it is headquartered.

In March, Mdundo, initiated a partnership with anti-piracy specialist AudioLock to remove illegally hosted African songs from websites across the world. Earlier, in December 2019, Mdundo also partnered with Opera to offer  Opera Mini users a chance for free, to listen and download their favourite music from the most recognized artists in Africa.

Since it was founded in 2014, Mdundo has been a member of Nairobi Garage. Mdundo is working directly with over 50,000 artists, the business model allows local musicians to upload their music, manage their catalogue and commercialize their content.

The app pays 50% of its turnover (60% from the full subscription service) to independent musicians. Mdundo also has agreements with Warner Music Group and other major licensing firms.