Picture Credit score: Luca BravoInventive tech agency Talenthouse was on the breaking point final month. Now it says it has secured an investor lifeline to proceed restructuring.
The agency matches artists with design briefs for main manufacturers, connecting purchasers with manufacturers like Netflix, Coca-Cola, Nike, and extra. However a report from The Guardian final month revealed the UK agency was dealing with authorized motion from its collectors and sure laid off most of its workforce. One other report from the Observer confirmed how contributors to Talenthouse tasks had not been compensated for his or her work on these tasks accomplished months earlier.
“Some had labored on high-profile briefs, together with designing posters, advert campaigns and social media posts for purchasers resembling DreamWorks, Nationwide and Snapchat,” The Guardian’s report revealed. “On the time, Talenthouse Co-Founder Roman Scharf apologized and stated the agency was ‘engaged on a long-term strong answer’ that might profit creatives and be introduced quickly.”
That strong answer included restructuring and the closure of the UK entity by which artists have been contracted. Now the guardian entity, Talenthouse AG says it has secured a brand new investor lifeline to maintain itself afloat.
“On Friday night time, Storage Italia Finance Sarl, Luxembourg (Storage Italia: Investor), disclosed to Talenthouse AG that it entered into agreements concerning the acquisition of virtually 32% voting rights within the firm (therefrom roughly 5% by a convertible mortgage). Storage Italia is the brand new investor introduced by Talenthouse AG on Could 14, 2023.”
“As talked about beforehand, the corporate is in a restructuring section, to handle its crucial monetary scenario. Talenthouse G, the investor, and the corporate’s auditors are engaged on options find out how to greatest proceed, together with the beforehand introduced capital enhance.”
Talenthouse was based in 2000 and has since burned by $80 million and leaving many contractors unpaid. “All I get from Talenthouse is ‘we’re doing what we will,’” stated one contractor from the Philippines, who’s owed £3,200 by the now-dissolved UK entity. “It’s all automated responses. Nobody actually appears to care.”