New Acquisition and Update on Investments

RNS Number : 7645C

Brainspark PLC

04 May 2012

 



Immediate Release                                                                                                     4 May 2012

Brainspark Plc

("Brainspark" or "the Company")

NEW ACQUISITION AND UPDATE ON INVESTMENTS

Brainspark, an AIM listed, fast-growing, international investment company, is pleased to announce the acquisition of 10 per cent. of Sixlove Group SpA ("Sixlove") for a total consideration of EUR 690,000, to be paid as follows: EUR 150,000 in cash, on or before 15 June 2012 and EUR 540,000 in exchange for 3,000,000 new Ordinary Brainspark shares, to be issued at 15 pence per share.

Sixlove (www.sixlove.it) has quickly become the Italian leader in the management of hotels and motels providing accommodation dedicated to couples. Sixlove is the first hotel network which provides its guests with themed rooms, offering them the adventure of "visiting" foreign "locations", without leaving their home country.

Already present in Italy, the hotel chain aims to grow rapidly across Europe through partnerships and local affiliations. It already has a number of operational multi-themed suites and is working with hotels who are creating their own offering. The directors of Sixlove believe this is a new and innovative approach to the short-stay holiday market. The results of operations in Italy in the first quarter of 2012 carried an average occupancy rate of 196 per cent. with an average income of EUR 177 per room / day.

Saverio Cancellara, Sixlove CEO, said, "Having attracted the attention of Brainspark is further confirmation of the high level of innovation that Sixlove has developed in the mature hotel accommodation industry. Sixlove fits perfectly within Brainspark's leisure strategy and has many synergies with current Brainspark holdings. These synergies are expected to improve the Sixlove franchising model."

Alfredo Villa, Executive Chairman of Brainspark, commented, "This acquisition is our first investment in 2012 and represents a large step forward in line with our strategy to consolidate the Italian travel and leisure sector."

New Product Launch for Bibop

Brainspark is happy to announce that Bibop has launched its new product "Virtual Relationship" (VR) on the Italian market. Following the development and the subsequent sale of 85 per cent. of the technology rights and IP of Mycast to a US company for USD 3 million, Bibop has used its experience in the field of social video communication, to launch Virtual Relationship, a  new proprietary technology product.

VR is the first Video Interaction Software Solution dedicated to businesses in the retail market. It provides B2B video interaction services like Video Consulting, Video Assistance, Video Promoting, Video Selling and Video Learning to the Retail Market. VR allows the end customer to interact live with a seller or an assistant through any video screen. It has been developed to allow one assistant to connect simultaneously with up to 10 points of sale via a video link from a centralised location. This system enables retailers to lower their costs of human resources and logistic expenses and have a more effective service. Bibop has also engineered and patented all inclusive video interaction solutions called "VR Station", including hardware, digital signage, payment processing and dispensing goods and services creating the first "virtual stores" manned by a video consultant located in a video call center.

Bibop has appointed a new CEO, Andrea Cinelli, who will be responsible for the launch and running of Virtual Relationship. Andrea has spent the last nine years as Director of Trade Marketing for the Telecom Italia Group and, in the past, has held directorships with Vodafone, Orascom Wind, Infostrada, Olivetti and Trend Micro, as well as being the head of highly successful projects such as Libero.it, RossoAlice.it and the first European mobile VAS services.

New Travel Company

Finally, Brainspark reports that ORH SpA, the leading Italian hotel group in which the Company owns a 51 per cent. holding, has signed an agreement to gain the exclusive management of the brand and activities of "Un Altro Sole," a Milan based travel operator, http://www.unaltrosole.com/, which in 2011 reported revenues of EUR 27 million.

"Un Altro Sole" focuses exclusively on the Caribbean and South America, regions not previously covered by ORH, which has focused on the African continent.

With this acquisition ORH expects to report aggregate revenues in 2012 of over EUR 60 million. "Un Altro Sole" is the first acquisition in the planned development of ORH to consolidate the medium and small travel operators in Italy, allowing it to become the market leader.

-ends-

For further information please contact:

Brainspark plc                                                                                                    [phone]

Alfredo Villa, CEO

Westhouse Securities                                                                              [phone]

Antonio Bossi

Jonathan Haines

Leander PR                                                                                               [phone]

Christian Taylor-Wilkinson

About Brainspark Plc

Brainspark plc (AIM: BSP) is an AIM listed investment company pursuing a dynamic strategy to create a comprehensive portfolio of companies primarily encompassing the interactive media, leisure, entertainment and financial services sectors mainly in Italy but also other European countries. The Company may be either a passive or active investor and Brainspark's investment rationale ranges from acquiring minority positions with strategic influence through to larger controlling positions.

 

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