Mind Candy has renegotiated a critical loan repayment and secured $1.5 million from existing investors.
Silicon Valley-based investment firm TriplePoint Capital agreed to a two-year extension of the £6.5 million ($8.1 million) loan to Mind Candy. TriplePoint took a $2 million markdown on the value of the loan to account for these new terms, the investment firm said on an earnings call on 13th March.
If Mind Candy had been unable to extend the loan terms the company might have been forced into bankruptcy, the company had said in filings with the UK business registry Companies House in October.
Mind Candy has seen good growth in its new product, called Petlandia. The product allows people to create avatars of their pets and then order personalised story books featuring these avatars. The company is exploring tie-ups with other pet-focused products and brands, including the use of celebrity pets.
In addition, the company has been in the process of relaunching Moshi Monsters. A new Moshi Monsters’ Egg Hunt mobile game lets children create a catalogue of different monster characters. Mind Candy hopes to sell personalised storybooks that will be populated with the characters from the child’s personal collection.
Accel’s Bruce Golden said that Mind Candy’s new products were showing promise, adding: “This company has been through a lot and has a lot to prove ahead of itself, but we think it is on the right track with the right team and the right plan.”