1 Sep 2008 07:00
Embargoed: 0700hrs, 1 September 2008
DCD Media plc
("DCD" or the "Group")
DCD Announces Major Library Licensing Deal
DCD Media plc, the independent television production and distribution group, is pleased to announce that it has agreed a major intellectual property licence which will benefit it in terms of both cash and a significant shareholding in the licensee company.
DCD has licensed internet streaming rights to eleven hundred hours of its performing arts catalogue to Classical TV Limited ('CTVL') for a cash consideration of £1.8 million. DCD is setting aside £1.5 million of this cash for the reduction of its convertible debt. DCD will also be granted a 19.9% equity shareholding in CTVL, and it is intended that two DCD Directors, Chris Hunt and Michael Barton, will join the Board of CTVL in due course.
CTVL will launch an internet broadcasting operation offering content licensed from DCD along with other programming to visitors on a subscription, pay-per-view, advertiser and sponsor-funded basis.
Chief Executive of DCD, Chris Hunt, said,
"This is an extremely favourable arrangement for DCD, which is licensing a minority of its library, retaining ownership of all its rights, gaining a large cash fee for its licence and also getting to participate on a risk-free basis in a significant new media operation."
For further information please contact,
Chris Hunt, Chief Executive
DCD Media Plc
Tel. 020 7297 8000
Ben Simons or Eleanor Williamson
M: Communications
Tel. 020 7153 1540
Tom Price or Jeremy Ellis
Evolution Securities
Tel. 020 7071 4300