Southeast Asian internet firm Sea Ltd may add another $1b to cash pile

Photo: Sea website

After a strong 2018 that saw it nearly double its adjusted revenue, regional internet company Sea Ltd appears to be set to add around $1 billion to its cash pile to further escalate competition in the digital entertainment and e-commerce space in Southeast Asia.

The NYSE-listed company on Friday unveiled plans for an equity placement offering comprising 50 million American Depository Shares (each representing one Class A ordinary share). Sea said it has the option to increase this placement offering to up to 57.5 million ADS. China’s Tencent Holdings has indicated its interest to purchase $50 million worth of ADS in the offering.

Back of the envelope calculations indicate that the company will raise a little over $1 billion if one were to assume that the entire offering is taken up at $21.50 per ADS, the closing price on February 28. The final figure may vary based on the share price.

The additional capital will enable SEA to double its cash and cash equivalents to over $2 billion. The company has a cash cow in its gaming platform Garena but is also engaged in a costly e-commerce battle in the region.

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Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.