Three year contract worth £12

RNS Number : 5319W

Boomerang Plus PLC

30 July 2009

 



Date:                       30 July 2009

On behalf of:           Boomerang Plus plc ('Boomerang' or 'the Group') 

Embargoed until:     0700hrs 

Boomerang Plus plc 

Boomerang wins three year contract worth £12 million  

Boomerang Plus plc (AIM: BOOM.L), a multi-genre, independent television production group based in Cardiff, is pleased to announce that it has won, in open competition, the tender to produce continuity links, programming and multi-platform content for older children on S4C, subject to contract. 

The contract is worth £4 million per annum and will run for three years, from April 2010 to 2012. It will marginally impact FY10 but predominantly be realised from FY11 onwards, reinforcing the Group's strong revenue visibility. The new contract will partly replace the Group's existing contract for the Planed Plant (Children's World) live continuity links but will also include programming. 

Commenting on the contract, Huw Eurig Davies, CEO of Boomerang Plus, said: 

"We are delighted to have won this significant new contract with S4C. It reinforces the excellent reputation of Boomerang's children's division within the independent children's television production sector and also provides a further boost to the Group's strong revenue visibility going forward. 

"We continue to demonstrate our ability to produce high quality programming for major broadcasters and are well positioned to continue to develop and grow our business."

- Ends -

For further information, please contact:

Boomerang Plus plc	Via Redleaf Communications
Huw Eurig Davies, Chief Executive
Mark Fenwick, Finance Director
Redleaf Communications	020 7566 6700
Anna Dunkin/ Samantha Robbins	[e-mail]
Altium Capital (NOMAD)	020 7484 4040
Tim Richardson/ Melanie Swalkiewicz
Evolution Securities (Broker)	020 7071 4300
Adam Lloyd/ Tom Price

Notes to Editors: 

• The Group, founded in 1994, has extensive experience in producing content in a variety of genres, including youth programming, music, entertainment, children's programming, extreme sports and drama

• The market for independent television production companies in the Nations and Regions has grown following quotas from the regulator Ofcom, which require that, depending on the broadcaster, between 10 per cent. and 50 per cent. of qualifying programming hours must be sourced from outside the M25 boundary

• Boomerang is ranked in the top three independent television production companies, by revenue, in the Nations and Regions according to the Broadcast Survey (Nations and Regions) 2009

• The Board's strategy is both to achieve strong organic growth by leveraging the Group's existing customer base coupled with strategic acquisitions, with a view to becoming a major supplier to UK networks looking to satisfy their Nations and Regions quotas

• Boomerang is well placed to participate in the consolidation of the sector. Target companies which meet the acquisition criteria will have a strong track record, which will assist the Group to grow further, outside Wales

 

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