Shares in the Aim-quoted company leapt over 11 per cent in early trading. Although they relaxed down, they are still up nearly eight per cent.
After listing on the Aim in January 2012 at 5p per share, Audioboom's share price peaked at just over 16p in October 2014, but has fallen ever since.
Earlier this month Audioboom revealed that its cash balances had dwindled to £0.9m from £6.2m a year earlier – as it is loss making and burnt through near £2.1m of cash in the six months to May – and was exploring funding options.
One such funding option was a Chinese investment of $8m (£6.1m). This was revealed on 5 August, the same day that the share placement was announced.