Rumble soars on $775 mln investment from Tether

Rum

20/12/2024 22:21

** Video sharing platform and cloud services provider Rumble
 RUM.O  shares rise 29.3% at $9.40 after the bell
    ** Co says it has entered into an agreement with Tether to
receive a strategic investment of $775 million
    ** Tether, a blockchain-enabled platform, has agreed to
purchase 103,333,333 shares of Rumble Class A Common Stock at a
price per share of $7.50
    ** RUM to use $250 million of the proceeds to support growth
initiatives and the remaining proceeds to fund a self-tender
offer for up to 70 million of its Class A Common Stock, at the
same price ($7.50 per share)
    ** Rumble's CEO Chris Pavlovski to retain his controlling
stake
    ** The investment and the tender offer are expected to close
in the first quarter of 2025 
    ** RUM up 60.1% YTD

 (Reporting by Abhinav Parmar in Bengaluru)
 ((Abhinav.Parmar@thomsonreuters.com;))