Video-streaming service iflix wraps up new round led by Fidelity International

The iflix logo is seen on a retro television screen. Graphic: DealStreetAsia

Malaysia-based video streaming startup iflix has finalised new round of investment to drive growth ahead of a prospective initial public offering.

While the size of the round has not been disclosed, the company said in a statement that the total is “well in excess of $50 million”.

Having earlier announced investments from Indonesia’s MNC, Japan’s Yoshimoto Kogyo, and South Korea’s JTBC, iflix on Monday said global asset manager Fidelity International emerged as the cornerstone investor in the round.

Meanwhile, iflix founders Catcha Group and shareholders Hearst, Sky and EMC also participated in the round.

“These investments are a clear affirmation of iflix’ business model and growth prospects and strengthen our ties to some of the region’s largest providers of local content. We have a strong pipeline of new content and are excited to be making our most extensive ever content offering available to our millions of users across the region,” said iflix co-founder and chairman Patrick Grove.

The company says the fresh capital will provide it with significant firepower to aggressively pursue growth strategies and further increase its active userbase, which surpassed 17 million in May 2019, up from 9 million six months earlier.

iflix, which claims to be Southeast Asia’s leading entertainment service, is currently available to consumers in  Indonesia, the Philippines, Thailand, Brunei, Sri Lanka, Pakistan, Myanmar, and Vietnam, besides its Malaysia headquarters. Further, it is also available in Maldives, Kuwait, Bahrain, and Saudi Arabia among others.

Last December, it had pulled out of Africa after the sale of its regional business to telco Econet Global.

iflix is setting the stage for a listing, set to take place either on the Australian Securities Exchange or the NYSE, which could value the company at more than $1 billion.

The company last raised $133 million in September 2017 in a funding round led by US-based Hearst Communications and Singapore-based EDBI as well as clients of DBS Private Bank. Among other investors in the firm are Liberty Global, Zain, Sky PLC, and Los Angeles-based merchant bank Evolution Media Capital.