(Alliance News) - Immotion Group PLC on Thursday said it will change its name to Let's Explore Group PLC, after selling its location-based entertainment business in a shift to focus on home-based entertainment.
Shares in the Manchester, England-based virtual reality entertainment company jumped 53% to 3.38 pence each on Thursday afternoon in London.
Immotion said it will sell its location based entertainment business, or LBE, for USD25.2 million, which it noted was heavily impacted by the Covid pandemic, while also completing its sale of disposal of UV disinfection company Uvisan Ltd for GBP100,000.
LBE is collectively Immotion Studios Ltd, Immotion VR Ltd and C.2K Entertainment Inc.
The LBE business was sold to to LBE Bidco Inc, led by an investor group that includes former Omnicom Health Group Inc chief executive officer Ed Wise. If shareholders approve the sale, Immotion's Commercial Director Rodney Findley will leave Immotion and stay at the LBE business.
Immotion said it would return up to GBP13.5 million, about 3p per share, from the sale proceeds to shareholders, while retaining GBP6.5 million for its future opportunities.
The company has also signed a 3-year framework deal with Dorset-based entertainment business Merlin Entertainment Group Ltd, which it said would streamline the trading relationship. The deal covers 26 sites at which Immotion has installed or has agreed to install a VR attraction.
By Tom Budszus, Alliance News reporter
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