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Progress at RAM Vision

13 Sep 2010 07:30

RNS Number : 5319S
RAM Investment Group PLC
13 September 2010
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News Release September 13h 2010

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RAM INVESTMENT GROUP PLC: SUBSTANTIVE NEW OUTDOOR DIGITAL ADVERTISING CONTRACTS WITH SHOPPING MALLS THROUGHOUT THE UK

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Ram Investment Group PLC ("RAM") announces its outdoor digital subsidiary Ram Vision has signed 17 contracts - in the last eight weeks - with shopping malls across the UK. This more than doubles the number of contracts signed since Ram Vision was formed in November 2009, when RAM acquired the assets of ASG Media PLC (ASG) and the business of Estates Media Partners Ltd. (EMP) two players in the nascent outdoor digital industry.

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The four largest of these recently signed contracts have a combined annual shopper footfall of 100 million: Liverpool 1, Liverpool; Lakeside, Thurrock Eldon Square, Newcastle and Stop Shop, Clapham London.

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RAM's Executive Chairman, Tim Baldwin, commented:

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"While the newly signed contracts have added 60% to the Ram Vision portfolio of formalised digital contracts, the footfall in the mall space has increased by an even greater percentage.

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Ram Vision's early activity was the legal formalisation of the trading relations with malls that were inherited on creation Increasingly though agreements are being made with new malls and owners. Mall owners with which we now trade include: Grosvenor Estates, Land Securities, Hammerson, Henderson, Capital Shopping Centres, Capital & Regional and Frogmore.

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Significantly, all but four of the 17 recent mall contracts are entirely new relationships. The advent of new relationships began with the five year contract this March in Birmingham; 29 new screens supplied and installed by Ram Vision in the famous Bullring which has the UK's highest annual footfall of shoppers, 39 million."

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The additional 17 recently won mall contracts, are expected to deliver new additional annual revenues of Β£1,275,000 reflecting an average annual forecasted income of Β£75,000 per mall per annum.

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"Ram Vision is continuing to tie up contractually other trading relationships with malls that it inherited. The total number of trading relationships both formally contracted and pending amount to 45.

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RAM Vision has also scored a first for outdoor digital by adopting YCD multi-media software. This software is able to deliver cinema broadcast quality. "Greater quality of resolution means that advertisers will start to see outdoor digital as an even more attractive medium to promote their brands" says Tim Baldwin. He concludes: "The substantial increase in our network, the strong endorsements implicit in our new property partner arrangements and our new technology tie-ups gives us a strong platform for significant revenue growth in 2011. Despite the uncertain economy in the UK, the board of RAM is comfortable with its strong expectations for Ram Vision."

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This information is provided by RNS
The company news service from the London Stock Exchange
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