Cayman Angel Investors back Ktone
A multimedia and communications company Ktone, has become the first one to raise capital from the Cayman Angel Investors Network (CAIN).
Ktone was launched last year to offer people a new and innovative service – the possibility to keep a constant connection to the latest happenings in the Cayman Islands through their cell phones, free of charge.
The investment by 6 members of CAIN came only 6 weeks after a presentation made by Neil de Vere, Ktone managing director, to the network.
2 CAIN members will become directors in Ktone, enabling them to direct how their investment is spent more closely. One of them will be the managing director of CML Offshore Recruitment, McIntosh. According to him, the angel investors did not intend to sell their stake in Ktone for several years. In accordance with a contracted provision, Ktone can buy back the shares from the investors at a set point and at a set price down the line. McIntosh said that the CAIN members’ investment in Ktone represents a “significant minority share” in the company.
The new funds have already helped Ktone – it secured a new contract to supply multimedia displays for Owen Roberts International Airport. Also, with the help of the capital the Ktone Group will split into 3 entities, and one of them will offer telecommunications services to the majority of the Caribbean by means of a partnership with Cable & Wireless. The other major area for Ktone’s activities due to new funding is marketing.
De Vere said that CAIN and the Cayman Islands Investment Bureau have offered great assistance by providing a structured process to establish access to capital and not to delay the opportunities to expand due to a short-term lack of funds.