Last checked at 30 Jul 2009 07:00
Date: 30 July 2009
On behalf of: Boomerang Plus plc ('Boomerang' or 'the Group')
Embargoed until: 0700hrs
Boomerang Plus plc
Boomerang wins three year contract worth £12 million
Boomerang Plus plc (AIM: BOOM.L), a multi-genre, independent television production group based in Cardiff, is pleased to announce that it has won, in open competition, the tender to produce continuity links, programming and multi-platform content for older children on S4C, subject to contract.
The contract is worth £4 million per annum and will run for three years, from April 2010 to 2012. It will marginally impact FY10 but predominantly be realised from FY11 onwards, reinforcing the Group's strong revenue visibility. The new contract will partly replace the Group's existing contract for the Planed Plant (Children's World) live continuity links but will also include programming.
Commenting on the contract, Huw Eurig Davies, CEO of Boomerang Plus, said:
"We are delighted to have won this significant new contract with S4C. It reinforces the excellent reputation of Boomerang's children's division within the independent children's television production sector and also provides a further boost to the Group's strong revenue visibility going forward.
"We continue to demonstrate our ability to produce high quality programming for major broadcasters and are well positioned to continue to develop and grow our business."
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For further information, please contact:
| Boomerang Plus plc | Via Redleaf Communications |
| Huw Eurig Davies, Chief Executive | |
| Mark Fenwick, Finance Director | |
| Redleaf Communications | 020 7566 6700 |
| Anna Dunkin/ Samantha Robbins | boomerang@redleafpr.com |
| Altium Capital (NOMAD) | 020 7484 4040 |
| Tim Richardson/ Melanie Swalkiewicz | |
| Evolution Securities (Broker) | 020 7071 4300 |
| Adam Lloyd/ Tom Price |
Notes to Editors:
The Group, founded in 1994, has extensive experience in producing content in a variety of genres, including youth programming, music, entertainment, children's programming, extreme sports and drama
The market for independent television production companies in the Nations and Regions has grown following quotas from the regulator Ofcom, which require that, depending on the broadcaster, between 10 per cent. and 50 per cent. of qualifying programming hours must be sourced from outside the M25 boundary
Boomerang is ranked in the top three independent television production companies, by revenue, in the Nations and Regions according to the Broadcast Survey (Nations and Regions) 2009
The Board's strategy is both to achieve strong organic growth by leveraging the Group's existing customer base coupled with strategic acquisitions, with a view to becoming a major supplier to UK networks looking to satisfy their Nations and Regions quotas
Boomerang is well placed to participate in the consolidation of the sector. Target companies which meet the acquisition criteria will have a strong track record, which will assist the Group to grow further, outside Wales