Investor Presentation reach4entertainment enterprises plc Oct 2016 - - PowerPoint PPT Presentation
Investor Presentation reach4entertainment enterprises plc Oct 2016 - - PowerPoint PPT Presentation
Investor Presentation reach4entertainment enterprises plc Oct 2016 Logo Disclaimer The information contained in this confidential document (Presentation) has been prepared by reach4entertainment enterprises plc (the Company) . It has
Disclaimer
The information contained in this confidential document (“Presentation”) has been prepared by reach4entertainment enterprises plc (the “Company”). It has not been fully verified and is subject to material updating, revision and further amendment. This Presentation has not been approved by an authorised person in accordance with Section 21 of the Financial Services and Markets Act 2000 (“FSMA”) and therefore it is being delivered for information purposes only to a very limited number of persons and companies who are persons who have professional experience in matters relating to investments and who fall within the category of person set out in Article 19 of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (the “Order”) or are high net worth companies within the meaning set out in Article 49 of the Order or are otherwise permitted to receive it. Any other person who receives this Presentation should not rely or act upon it. By accepting this Presentation and not immediately returning it, the recipient represents and warrants that they are a person who falls within the above description of persons entitled to receive the
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Overview: Next Chapter Underway
- New senior management team at r4e appointed in Oct 2017
- Operational review underway to support next phase of growth
- Company looking to raise £5.0m to support the new management
team in its endeavours, allocated between:
- Expansion of activities beyond non-theatrical production,
both organically and via acquisition
- Focus on new geographic markets
- Working capital support through cost saving initiatives
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New CEO and Chairman in Place
- Marc Boyan – CEO
- 20 years of experience in the media sector
- Founded media trading company, Miroma International, in
2003
- History of providing broad based marketing-communication
solutions to global leading brands and media owners
- Strong track record in both building organically and investing
in new business lines
- Lord Michael Grade – Chairman
- Over 40 years of experience in the entertainment industry
- Executive responsibilities in leading all major national
broadcasters
- Long history of involvement in the theatrical production space
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The Attraction of r4e
- Strong fundamentals underpin the activity of the Group:
- Industry leading creative capabilities
- Deep relationships within the theatrical space
- Rich understanding of the ‘audience’
- Operational and financial improvements have already begun:
- Foundations of integrated offering and cross-sell solutions in
place
- Debt reduction programme yielding additional results in 2017
- Cost savings achieved over the last 3 years
- Blueprint tested to open new geographic markets
- Successfully broadened offering adding clients in the non-
theatrical entertainment sector
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What Improvements can be Made?
- Greater focus on the commercial imperatives of the business
- Additional savings to be achieved by:
- Implementing more efficient staffing structures
- Improving media buying activities
- Centralised capabilities to service all subsidiaries
- Placing innovation and data driven decision making at the heart of
all client solutions
- Partnering with rather than buying into leading marketing-
technology providers to ensure the business is always at the cutting edge of its field
- Exporting capabilities built out through an integrated offering to
new sectors outside of the entertainment space
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The Vision
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ACCOUNT MANAGEMENT PRODUCTION WEBSITES DATA & INSIGHTS DESIGN TICKETING & INVENTORY MANAGEMENT MARKETING SOCIAL ONLINE MEDIA MEDIA
Summary
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- New management team appointed in October 2017 with significant
expertise in the marketing-communications and theatrical space
- Building on core strengths of the business
- Focus on commercial imperatives of the business with data driven
decision making at the heart of all client solutions
- Exporting capabilities built out through its integrated offering to
new sectors outside of the entertainment space
- Company looking to raise £5.0m to support the new management
team in its endeavours:
- Expansion of activities beyond non-theatrical production,
both organically and via acquisition
- Focus on new geographic markets
- Working capital support through cost saving initiatives
Appendix
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Shareholders
Summary Shares in issue 614.99m Market Capitalisation
- c. £11.5m
Shareholder overview Major Shareholders Amount (m) Holding % Nigel Wray 159.6 25.96% Gate Ventures plc 148.1 24.07% Herald Investment Management 86.0 13.99% Stoller Family Partners LLP 30.6 4.97% Stephen Hemsley 22.4 3.64%
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Marc Boyan - CV
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- Founded Miroma International in 2003
- Miroma International is a successful media trading business
which works with brands, media agencies and media owners to enable brand owners to extract additional value from their marketing budgets
- Extended the business under Miroma Ventures to focus on
investing in, seeding and managing media and technology companies
- Began career in the media sector 20 years ago
The Board
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- Marc Boyan (CEO, Executive Director) – see overleaf
- Lord Michael Ian Grade of Yarmouth (Chairman, Non-Executive Director), was awarded a CBE in 1998 for his significant achievements in broadcasting and has
- ver 40 years’ experience in the entertainment industry. He was formerly Chairman of the BBC, Executive Chairman of ITV plc, Chief Executive of Channel 4, and
he has held positions on the boards of a number of public companies, including Pinewood Group plc. Lord Grade is currently a director of Gate Ventures plc, a substantial shareholder in r4e. He is also a co-founder of The GradeLinnit Company Ltd (“Gradelinnit”), a prominent theatrical production company
- Arthur Thomas Ralph Wilson, (Interim Finance Director), is a Chartered Accountant and an experienced finance director in the marketing and media sector,
having led the UK finance and accounts functions of global creative digital agency AKQA, full service agency LBI, and Nike’s first-ever ad agency Wieden+Kennedy. Most recently, at BBC Worldwide, Ralph led the finance support for their UK Consumer Products and TV Sales divisions, before partnering their global technology and operations unit, during which time he successfully took business cases to their Worldwide Executive board on subjects as diverse as a Doctor Who partnership deal and the replacement for Global iPlayer.
- Marcus Yeoman (Senior Independent Director, Non-Executive Director), is currently non-executive director of three other AIM listed companies and one NEX
Exchange quoted company. His early career started with the formation of three companies in IT infrastructure and distribution, after which he moved into small company broking and corporate work with Rathbone Stockbrokers Limited and Cheviot Capital (Nominees) Limited. In 2003, Marcus established Springtime Consultants Ltd and has been acting as a consultant or non-executive director to a number of listed companies & SME ventures, that require help with their growth strategies, including M&A activity
- Claire Elizabeth Hungate (Non-Executive Director) has over 17 years’ experience in the media and entertainment industry. In September 2017 Claire became
CEO of. Brave Bison, an independent digital media and social video broadcaster. Prior to this she was Managing Director of Warner Bros. Television Production UK, having previously been COO of AIM-quoted Shed Media PLC, seeing the company through its acquisition by Warner Bros in 2010, and before then was Managing Director of Wall to Wall Ltd, which was acquired by Shed Media PLC in 2007. Claire’s prior roles in the industry include running the commercial
- perations of the Institute of Contemporary Arts, and as head of business affairs for production company and talent agency Princess Productions
- Nicholas Richard Charles Geary Lycett (known as Charlie Lycett) (Non-Executive Director), began his career at the Outside Organisation in 2000. In 2003 he set
up The Lucid Group which became the largest online and broadcast music agency in the UK representing the likes of David Bowie, Beyonce, The Rolling Stones and The Who. In 2006 he became an advisor and shareholder in bebo, helping it become the largest social network in the UK until their sale to AOL in 2010 for $850m. In 2010 he became the Managing Director of RCA Records selling a stake in The Lucid Group to Sony Music Entertainment in the process. In 2009 he co- founded MusicQubed, a mass-market mobile music service that launched internationally in 2013. In addition to MusicQubed, Charlie's interests include Operator Records, Black Butter and Online Broadcaster SB.TV. He is a supporter of the Prince’s Trust and has also served as a judge for the Radio Academy
- Paul Keith Summers (Observer), joined as COO of r4e in October 2017. Paul began his career in investment banking at Citigroup in 2001,working in the corporate
finance division on capital raising and M&A advisory mandates. In 2006, Paul joined Sampoerna Capital to help set up the family’s private equity arm focusing on range of businesses in the retail, online gaming, financial services and commodities sectors. Paul joined Miroma Ventures in 2014 to further grow Miroma’s media, technology and consumer platforms with new businesses that can benefit from Miroma’s unique blend of industry experience, proprietary media assets and content providers.
New York Operations – SpotCo
- Market leader on Broadway
- 2016 revenues £65m
- In 2016 SpotCo was involved in the launch of 22
theatre shows on Broadway and 12 more off Broadway
- All competitive category Tony Awards won in the
2016 season were clients of SpotCo
- Current shows include Book of Mormon, Cats, Hello
Dolly, Kinky Boots, and Mean Girls
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London Operations – Dewynters
- Market leader in London, founded in 1872
- Services include: sales and marketing for ticketed
events; branding and creative work for sport, theatre, music, & live entertainment; digital and offline media planning and buying
- 2016 revenues £28m
- In 2016 Dewynters supported thousands of
performances seen by millions of people, including many of the major musicals running in London
- Current shows include Aladdin, Annie, Les Miserables,
Mamma Mia!, Phantom of the Opera, The Lion King, and The Royal Shakespeare Company. Recent wins include Bat out of Hell, and Dreamgirls
- Other ticketed events work includes ATP World Tour,
BFI Film Festival, Mamma Mia the Party, Bodyworlds the exhibition, and Tutankhamun the exhibition
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London Operations – Newman Displays
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- One of the UK's leading large scale
- utdoor signage, front of house, display
and installation companies
- 2016 revenues £4m
- Clients include major West End theatre