The ASX float of Startup Cloud Lands Digital Fortress has been called off after its reverse listing target, Resource Star Limited, agreed to terminate the proposed hook-up.
It marks at least the third cloud reverse listing to founder in recent times.
Cloud Lands now intends to pursue a new corporate strategy that may include an initial public offering on the ASX, according to a statement from Resource Star.
Cloud Lands drew attention last year with ambitions to target the Australian SME and tier two enterprise market from data centres in Perth and on the east coast.
The company announced last year it had at least one top-rung partnership under its belt, announcing Fujitsu Australia would supply services and support. Its services would run on a Cisco, VMware and EMC-based Vblock platform from VCE.
However, yesterday the ASX-listed Resource Star terminated an agreement to acquire Cloud Lands, with management of both companies mutually agreeing that all conditions of the agreement had not been met.
[Read more: Five Aussie tech firms looking to shake up the ASX]
The conditions of the deal had included capital raising of no less than $3.5 million, as well as other conditions and shareholder and regulatory approvals.
CRN contacted a Cloud Lands spokesperson who said they were not authorised to comment. CRN also contacted a Resource Star spokesperson but did not receive a reply by the time of publication.
At the time of writing, the Cloud Lands website stated, “Coming Soon”.
The failed acquisition comes after another failed reverse listing last year, when the buyout of wholesaler CloudCentral by Dromana Estate went south.
Another backdoor listing between a cloud company and mining shell also collapsed last year: Melbourne-based PRM Cloud Solutions would have been bought by Minerals Corporation. Since then, PRM Cloud Solutions has become a subsidiary of the ASX-listed Enverro.
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