Valletta, 07 May 2019 | 22:22 CET/CEST: The Board of Directors of blockescence plc (WKN: MT0000580101; symbol: BCK, "blockescence") has decided to complete the acquisition of the majority stake in ReachHero GmbH on May 10, 2019 (closing expexted) and for this purpose resolves a capital increase of 2,170,000 shares as part of the purchase price payment for the acquisition of shares in ReachHero GmbH. The company will issue 2,170,000 new shares with a nominal value of EUR 1,00 per share. As announced on February 26, 2019, the shares for the payment of the purchase price will be used for the acquisition of the majority of the ReachHero GmbH shares.
Furthermore, the Board of Directors today decided to propose to the Shareholders that the company name of blockescence plc shall be changed to "Media and Games Invest plc".
The decision for the new name has been made to better reflect the focus of the company. The name change shall be put to a vote at an extraordinary general meeting on May 29, 2019.
It was also decided that the company wants to increase its stake in gamigo AG to at least 65% and therefore to start concrete negotiations with the minority shareholders of the company.
--End of Ad hoc note—
The change of name is to clarify the company’s alignment towards investors. The new name ‘Media and Games Invest plc’ complies with its focus to acquire shares in the media and gaming sectors as a strategic investment holding and to further develop the assets following a ‘buy, integrate, build & improve’ principle. Within the fast-growing media and gaming markets, the company continues to build on using arising M&A opportunities as well as platform and synergy potentials between the markets and its portfolio companies in the most ideal way.
The acquisition of the ReachHero shares is the first direct investment of Media and Games Invest plc (short: MGI) within the media sector. It is expected to cause significant synergies with the gamigo media companies adspree and Mediakraft as well as to have positive effects on the gaming unit of the gamigo group. Therefore, the transaction is exemplary for the orientation of MGI. As announced on February 26, 2019, 65,42 % of ReachHero’s shares have been acquired, with also the option to acquire the remaining shares as well.
A further increase of shares regarding the most important participation, the gamigo AG, is planned. At this time, 38 % of shares and 53 % of voting rights are being held. The goal is to increase the participation to more than 65 %, through the acquisition of shares from minority shareholders. For years, the gamigo group shows a steady and continuous increase in revenue and earnings. With more than 20 M&A transactions in the past 5 years, gamigo successfully positioned itself as a consolidator on the fast-growing media and gaming markets and proved that its acquisition-driven platform strategy is successful.
CEO Remco Westermann: ‘We have a high level of expertise in two fast-growing markets which have many things in common and which provide opportunities for great synergies. gamigo shall be more closely involved in the future to elevate more synergies. Therefore, we want to increase our share of the company. We proved in the past that we can invest, integrate and develop in a profitable way. Our focus makes us unique in the market which shall now also be expressed by our namechange.’
About blockescence plc (in future ‘Media and Games Invest plc’):
blockescence (in future ‘Media and Games Invest plc’) is a strategic investment holding focusing on a ‘buy, integrate, build & improve’ strategy of fast-growing companies within the media and games market. The portfolio companies of blockescence grow through acquisitions as well as organically. Proven and new technologies are actively being used to create efficiency improvements and competitive advantages. The most important participation is the gamigo AG, a fast-growing company in the gaming and media sectors of which blockescence holds 38 % of shares and 53 % of voting rights. blockescence has its headquarters in Valletta (Malta), it holds subsidiaries in Switzerland and Germany, and it is listed on the Frankfurt stock market as well as XETRA.
This release may contain certain forward-looking statements based on current assumptions and forecasts made by the management of blockescence or its affiliated companies. Various known and unknown risks, uncertainties and other factors could lead to material differences between the actual future results, financial situation, development or performance of blockescence and its affiliated companies and the estimates given here. Neither blockescence nor its affiliated companies assume any liability to update these forward-looking statements or to adapt them to future events or developments.
Axel Mühlhaus / Dr. Sönke Knop
Phone: +49 69 9055 05 51
E-mail: [email protected]
Soeren Barz, Head of Investor Relations
St. Christopher Street 168
Valletta VLT 1467
Email: [email protected]