Blippar, the British augmented reality start-up, faces administration within days after a disagreement between two of its investors threatens a crucial raise of emergency funding. The business has appointed insolvency practitioners David Rubin & Partners, which has raised speculation that property developer Nick Candy could seek to purchase the company through a pre-pack administration deal. Mr Candy purchased another of his technology start-up investments, Crowdmix, when it collapsed into administration in 2016. David Rubin & Partners was also hired as administrators for that firm. A source with knowledge of Blippar’s financial situation said a plan for the business if it enters administration is “yet to be determined.” Mr Candy has sought to invest a further $5m (£3.9m) into Blippar through his Candy Ventures technology investment firm. However, the Malaysian sovereign wealth fund Khazanah has blocked the injection of new funding into Blippar, leaving the business at risk of insolvency. Blippar sources said on Sunday evening that the business faces insolvency within days if emergency funding isn’t invested in the company. David Currie, the chairman of Blippar’s board of directors, said in a letter to investors on Friday that “whilst some larger contract negotiations have progressed, the company has not been able to generate sufficient short-term revenue to meet the business plan.” Mr Currie wrote that “approval has been sought and declined” for Mr Candy’s increased investment into Blippar. The company is attempting to raise emergency funding from its existing investors, including Candy Ventures and Qualcomm Ventures, the investment wing of US chip designer Qualcomm. However, Khazanah has so far blocked attempts to inject more money into the business. Blippar investors blame the disagreement on a change in leadership at the Malaysian sovereign wealth fund after the country’s elections in May ended the ruling coalition’s 60-year hold on power in Malaysia. Khazanah could not be reached for comment on Sunday.
UK-based augmented reality (AR) company Blippar is days away from insolvency amid a dispute among investors over the injection of emergency funding. Property developer Khazanah attempted to bolster the firm with a further $5m, but the emergency investment was not approved by the Malaysian sovereign wealth fund Khazanah. Insolvency practitioners David Rubin & Partners have been called in, leading some to speculate that Candy may now plan to purchase the business.