On Mar 26, 3:37=A0am, Chim <Chi...@[EMAIL PROTECTED]
> wrote:
> Media Prima plans US$150m media fund
> By Azlan Abu Bakar
> Published: 2008/03/26
>
> MALAYSIA'S biggest media group, Media Prima Bhd (MPB), plans to set up
> a media fund worth up to US$150 million (RM480 million) to invest in
> media assets across Southeast Asia.
>
> Group managing director and chief executive officer Abdul Rahman Ahmad
> said the MPB Strategic Media Fund Limited Partner****p has an
> investment horizon of five to seven years.
>
> The fund is expected to be launched in the second quarter of 2008.
>
> "It will be MPB's vehicle to expand in the region, in line with our
> strategy to grow and diversify the group's earnings and enhance
> shareholders value," he told re****ters at Invest Malaysia 2008 in
> Kuala Lumpur yesterday.
>
> He said the concept of the fund is similar to other private funds, but
> in this case specifically targeting the high growth media assets
> within the Asean region.
>
> "We will be the anchor investor and at the same time secure other
> domestic and international financial and strategic investors," he
> said, adding the group will also act as fund manager for the fund
> through its own fund management firm.
>
> Macquarie Capital Securities (Malaysia) Sdn Bhd has been appointed as
> lead financial adviser to assist in establi****ng and raising funds
> from potential investors.
>
> Abdul Rahman said the Media Fund's first investment will be in the
> Philippines, where there is a large and growing advertising market.
>
> "We have set up a subsidiary there called Primedia Inc that will soon
> enter into a block airtime and consultancy agreement with ABC5 TV
> network, one of the television networks in the Philippines," he said.
>
> He said upon inception of the Media Fund, MPB's shareholding and
> interest in Primedia will be transferred to the new fund.
>
> Abdul Rahman said under a long block airtime agreement with ABC5,
> Primedia will provide content and manage the sale of airtime while the
> network will undertake a repositioning and launch exercise as well as
> transmission quality upgrade.
>
> "With TV penetration in the Philippines at 72.7 per cent and total
> advertising expenditure re****ted at US$2.8 billion (RM8.96 billion) in
> 2006 with television having more than 75 per cent of that, ABC5
> represents a high growth potential," he said.
>
> He said MPB is aware that regional expansion and investment in media
> assets overseas will require substantial investment and comes with a
> certain amount of risk.
>
> "Our investment through the media fund will enable the group to
> minimise this impact to its earnings and balance sheet," Abdul Rahman
> said.
>
> Besides the Philippines, MPB is looking at other potential investments
> in Indonesia, Cambodia and Vietnam.
May Bank wants to take over the B I I
BII =3D Bank International Indonesia .
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