Embracer Group enters into agreement to aquire Spotfilm Networx
Embracer Group AB (“Embracer”), through its wholly owned subsidiary Koch Media GmbH, has acquired 100 percent of the shares in Spotfilm Networx GmbH (“Spotfilm Networx”) from its five current owners. Spotfilm Networx is the leading Advertising-based Video on Demand (AVOD) channel network in Germany, located in Berlin.
Background and rationale
Spotfilm Networx is the leading AVOD channel operator in Germany, located in Berlin, Germany. Spotfilm was founded in 2010 by Peter von Ondarza and is headed by managing director Hauk Markus. Spotfilm Networx today comprises 18 full-time employees and eight interns.
Spotfilm Networx operates 20 AVOD channels and two Subscription Video on Demand (SVOD) channels, hosting 3,000 videos on YouTube with more than 7 million Unique Visitors, and run their own streaming website Spotfilm Networx and App with more than 4 Million downlowoads.
With its channel Netzkino, Spotfilm Networx contributes one of the most popular ad-supported streaming platforms in Germany. With 4 million users and around 20 million film viewings monthly, Netzkino is already the largest feature film channel in German-speaking countries.
Spotfilm Networx will be a full operating subsidiary under the Koch Media operative group, and will continue its operations out of their current facilities.
Purchase price and financial contribution
The parties have agreed not to disclose the terms and conditions for the transaction. The transaction will be accreative to adjusted earnings per share.Forecasted operational EBIT for FY 22/23 are approximately SEK 6 million and FY 23/24 approximately SEK 9 million.
Completion of the transaction
The transaction was signed as of 30th of November 2021 and was closed prior to this announcement.
