Singapore based SVOD service, HOOQ files for liquidation
Singapore based SVOD platform, HOOQ which was a joint venture between Singtel, Sony Pictures Television and Warner Bros. has filed for liquidation according to media reports.
The OTT platform announced the news on Friday 27th March citing failing to grow rapidly and escalating operating costs led to the decision. The platform has been in the video on demand (VOD) streaming market for 5 years and has undergone several structural changes to keep pace with the changing OTT environment but is no longer able to provide sustainable returns to the investors.
In a statement from HOOQ, the spokesperson stated, global and local content providers are going direct, the consumers’ willingness to pay in emerging markets and increasing content costs all led to an unsustainable environment for the platforms’ growth.
The firm has failed to raise additional capital from investors. HOOQ has raised $95 million till date including $70 million that were pumped in 2015 by its main investors.
The company will hold a meeting with shareholders and creditors on April 13th.