Information  X 
Enter a valid email address

Gate Ventures PLC (GATE)

  Print      Mail a friend

Tuesday 21 July, 2015

Gate Ventures PLC

£2.6 million investment in Infinity Creative Media

RNS Number : 5764T
Gate Ventures PLC
21 July 2015
 

Press Release

21 July 2015

 

 

Gate Ventures Plc

 

("Gate Ventures" or the "Company")

 

£2.6 million investment in Infinity Creative Media Limited

 

The Board of Directors ("Board") of Gate Ventures Plc announces that it has reached full commercial terms to invest £2.6 million in Infinity Creative Media Limited ("Infinity"), giving Gate Ventures a 20% equity share at a pre-investment valuation of £13 million in Infinity with an option to acquire a further 5% stake.  A down-payment of £100K has been made as part of the terms of a signed Memorandum of Understanding, and the commercial terms are proceeding to formal contract. 

Infinity is a UK based television production studio of which Lord Michael Grade, a former Chairman of the BBC, is Chairman.  The founder is Russ Lindsay, a former manager of Ant & Dec, Simon Cowell, Phillip Schofield and Piers Morgan.  The CEO is Ross Westgate, who has over 20 years' experience in the global broadcast business, including assisting in the launch of the European TV operations of Dow Jones and CNBC.  

 

Infinity is producing a number of investor funded 13 one hour ("13x1") high quality TV magazine programmes for global distribution, where the commercial IP remains vested entirely with Infinity and its investors. 

 

Infinity has four 13x1 original television formats currently in production, these being The Classic Car Show, The Wine Show, The Art Show, and The Luxury Lifestyle Show.  Further series, including The Football Show and The Theatre Show, are currently in development.  Each series produces numerous income streams for Infinity such as an executive production fee and sales commissions amounting to over £450,000 per series, with potential for additional on-going revenues, on top of the value created from the format's original IP. 

 

Geoff Morrow, Chairman of Gate Ventures PLC, said: 

 

"Infinity is an exciting business with excellent and experienced management which has the drive and enthusiasm to make Infinity one of the top television and film producers in the UK.  The intention is that apart from its current normal distribution networks, Infinity will also take advantage of Gate Ventures' expertise and connections in China, to sell its production content to TV stations and other media distribution platforms.  This important major investment for Gate Ventures is the first of several, in line with its investment strategy. 

 

"The Company is already in detailed discussions in relation to three other media investments, with commercial terms agreed in principle." 

 

 

- Ends -

 

 

For further information:

Gate Ventures Plc

Tel: +44 (0) 20 7016 9963

Geoff Morrow, Chairman 

www.gateplc.com

 

Media enquiries:

Abchurch Communications Limited

 

Canace Wong / James Burman

Tel: +44 (0) 20 7398 7714

[email protected]

www.abchurch-group.com

 

 

 


This information is provided by RNS
The company news service from the London Stock Exchange
 
END
 
 
MSCKMGZNGGGGKZZ

a d v e r t i s e m e n t