6th Sep 2006 10:37
InvestinMedia PLC06 September 2006 6 September 2006 InvestinMedia plc ("IVM" or "the Company") Purchase of Fountain Television Limited The Company today completed the purchase of Fountain Television Limited ("Fountain"), owner and operator of the 13,000 sq. ft television studios inWembley, from Medal Entertainment & Media plc ("MEM") for a cash considerationof £ 1.5 million and repayment to MEM of £ 5.3 million of inter-company loans. This purchase represents a Substantial Transaction under Rule 12 of the AIMRules The principal activity of Fountain is the ownership and operation of theFountain Television Studios in Wembley. In the year ended 31 March 2006,Fountain achieved a turnover of approximately £3.2 million and a loss onordinary activities before tax of £0.4 million. At 31 March 2006, the netassets of Fountain stood at £1,654,000. The Directors know the business well and consider that in the near futureFountain can be restored to profitability. Over the longer term the Directorsbelieve Fountain will prove a successful investment. The funding for the Fountain acquisition was provided by secured bank borrowingand was satisfied in full in cash at completion. This acquisition is planned to be the first of a series of investments, whichwhile in some cases representing minority stakes, will in others involve 100%acquisitions where this is considered by the board to be appropriate. For further information, please contact: Richard Murray, Chairman Cameron Maxwell, Chief Executive InvestinMedia plc Tel: 0207 588 7352 E-mail: [email protected] This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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