Cloud Imperium Games Issues $5 Million In New Shares

A question I've had for over a year now is whether Cloud Imperium Games are making enough money to complete development of Star Citizen and Squadron 42 without further injection of outside investment money. The company still hasn't filed its 2022 accounts with UK Companies House but another filing might shed some light on the question.

Yesterday Cloud Imperium filed a form SH-01, titled "Return of Allotment of Shares". An allotment of shares is:

... the process of creating and issuing new shares in a company. This can happen when the company is initially registered (or incorporated), and whenever there is a change to its overall share capital – such as after a funding round.

A SH-01 must be filed with UK Companies House within 30 days of the creation and issuing of the shares.  Below is the first page of the form filed by Cloud Imperium.

Going through the form, we can see that CIG created and issued 247,520 ordinary shares, or approximately 2% ownership of the company, on 15 January 2025. The form also indicates the currency the shares are sold for if money is involved as well as the price of each share. In the case of this transaction, each share was purchased for $20.20 in US dollars for a total transaction value of $4,999,904, or near enough to $5 million as makes no difference.  Because the amount unpaid line equals 0, we know the payment was made in full.

The big question unanswered is who received the shares? The information is not part of the SH-01. Instead, companies in the United Kingdom file a confirmation statement (form CS-01) a minimum of once a year. Unless one of the parties in the transaction holds a press conference, inquiring minds will need to wait for additional filings from CIG to Companies House. CIG usually files its confirmation statements in September of each year. Unless a celebrity like Henry Cavill bought the shares, though, the information probably will remain private for another 6-7 months.

For those interested in the information provided concerning the ownership of shares, I've included a page from CIG's 2024 confirmation statement below.

Finally, this transaction answers a question I've wondered about for years. How much is Cloud Imperium worth? Back in 2018 when the first tranche of investment money came in from the Calders, CIG was valued, after the deal, at $496 million. Six years later, the share price gives us the ability to calculate the market cap of Cloud Imperium. The company's market cap is approximately $242 million, a little less than half the valuation reported in December 2018.

After yesterday's posting of the SH-01 I am really interested to see who acquired the new shares. I'm also looking forward to seeing additional financial data from 2023. After all, the company has to submit the documents sometime, right?