Welcome!

News Feed Item

VGI Global Media (SET:VGI) and Master Ad (SET:MACO) Out-of-Home Media Giants Announce Partnership to Expand Business Together



Bangkok, May 12, 2014 - (ACN Newswire) - Mr. Kavin Kanjanapas, Chariman of the Executive Committee of VGI Global Media PCL ("VGI"), disclosed that on May 12, 2014, the company acquired shares of Master Ad PCL ("MACO"), a key player in Out-of-Home media which has advertising media locations in the central business district of Bangkok, residential communities and strategic communication routes. VGI acquired a total of 24.43% of total issued and paid-up shares of MACO, at the price of 9 Baht per share, totaling a value of 661,500,000 baht, from the major shareholders of MACO.

Mr. Noppadol Tansalarak, Chairman of the Executive Committee of MACO, said "VGI is an excellent out-of-home media partner. VGI not only has good location and attractive design for its advertising media but also has a strong executive and employees. Moreover, VGI also has good strategy and a high quality management system. Both VGI and MACO have seen each other's development in its respective out-of-home media sub-sector for a long time. I'm delighted to see further development beyond the current success of both companies in the future. In addition, existing major shareholders will still hold substantial shareholdings in Maco and existing management will continue managing Maco."

With over 26 years of operation, MACO is one of the leaders in out-of-home media industry especially in the Outdoor media category. MACO's key revenues are derived from billboard advertising services, advertising production services and other services that enhance MACO capacity to provide total solutions for its clients.

Currently, MACO is the owner of 1) 170 billboards installed on the edge of strategic communication route, 2) street installations including 188 trivision panels installed on BTS pillars, 1 Siam Square Media ,and 366 media panels under flyovers in Bangkok (consisting of 177 media panels under 1st phase and 249 media panels under 2nd phase), and 3) transit media including 80 media panels on walkways of BTS station, 124 media panels installed at toll booths of Expressway Authority of Thailand, and 7 media panels in Mochit 2 Bus Terminal.

Besides excellent media location, MACO also has excellent staff to seek locations which are attractive to consumers and a high quality team to procure and install large billboards whose structures comply with engineering standards. MACO's subsidiaries have the capability and technology to produce billboard structures, and large format printing media. MACO group also has innovative advertising medias, which are proved by several awards such as Coke bottle 3D Mapping on CPN building which awarded Media Lions level 2 in Cannes Lion 2013 in France. MACO also received Asia's 200 Best Under Billion from Forbes magazine and Company Performance Awards from SET Awards 2013 for two consecutive years.

Mr. Marut, Arthakaivalvatee, Chief Executive Officer of VGI, said "VGI believes that both VGI and MACO will achieve synergy from this partnership. Both companies will plan new strategy to build more value for each company, create marketing campaigns and sales advertising media together. This partnership will give more media alternatives which will help answer the various needs of its clients, and better penetrate target customer groups, which will result in higher revenue for VGI and MACO in the long run.

"This investment is an important step for VGI to expand its investment from the existing Transit Media and In-store Media, with main media Indoor to Outdoor Media, the market in which MACO is a leader. VGI is confident that this transaction will help and bring both companies to the leader position of Out-of-Home Media both in Thailand and in ASEAN countries."

According to AC Nielson, total Out-of Home market size was estimated to be 10,287 million Baht in 2013 comprising of 3 categories; 1) Outdoor Media of 4,167 million Baht 2) Mass Transit System of 3,528 million Baht ,and 3) Department Stores of 2,486 million Baht. Thus, Outdoor Media is one-third of total Out-of Home market size.

Ms. Suparanan Tanviruch, Chief Financial Officer of VGI, additionally informs that MACO's financial performance has robust growth over the past 3 years with 7.5% CAGR in revenue. In 2013, its revenue is 745.58 million Baht. Furthermore, net profit in the last 3 years grows 16.6% per year in average with net profit of 173.8 million Baht in 2013. Net profit margin is 23.3% in 2013. ROE in last 3 years is 20%-27%.

In the last 6 years, dividend yield is consistently high and paid 0.50 Baht per share under 2013 fiscal year or 5.56% of dividend yield at purchasing price 9.0 Baht per share. VGI will use operating cash flow and financing from financial institutions as source of fund for this transaction.

About VGI Global Media PCL

VGI Global Media Public Company Limited (SET:VGI) is Thailand's major provider of out-of-home media solutions, having more than 10,000 items of large still-image screens in the BTS skytrain network and large retail stores nationwide. It also has over 11,000 sq.m. of advertising space in the product display zones of large modern trade stores, as well as about 5,000 items of digital screens and media in the BTS platform and train areas, the Tesco Lotus, Big C, and Watson stores, and large office towers throughout Bangkok, and mega LED and outdoor led screens under its management. In addition, the company runs retail shops in 23 BTS stations and radio networks covering nearly 2,000 modern trade stores in Thailand. For more information, please see www.vgi.co.th.

Master Ad PCL

Master Ad Public Company Limited (SET:MACO) is a leading out-of-home media advertising company in Thailand with media coverage of more than 1,200 ad display units nationwide. With over 24 years of experience, we specialize in providing clients with creative out-of-home media solutions ranging from billboard, street furniture, transit, ambient advertising to made-to-order job. We have been emphasized on the creation of our products and services under the concept of Smart, Creative and Innovative. Through state-of-the-art technology in order to improve communication efficiency and attractiveness, our team develops imaginative and intelligent ways for our clients to reach and connect their audiences and impress them. For more information, please visit www.masterad.com.

Source: VGI Global Media PCL

Contact:
VGI Global Media PCL
Investor Relations Department
Tel: +66-2273-8636; +66-2273-8639   
E-mail: [email protected]

Master Ad PCL
Investor Relations Department
Tel: +66-2938-3388 x487
E-mail: [email protected] 




Copyright 2014 ACN Newswire. All rights reserved.

More Stories By ACN Newswire

Copyright 2008 ACN Newswire. All rights reserved. Republication or redistribution of ACN Newswire content is expressly prohibited without the prior written consent of ACN Newswire. ACN Newswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

Latest Stories
Most technology leaders, contemporary and from the hardware era, are reshaping their businesses to do software in the hope of capturing value in IoT. Although IoT is relatively new in the market, it has already gone through many promotional terms such as IoE, IoX, SDX, Edge/Fog, Mist Compute, etc. Ultimately, irrespective of the name, it is about deriving value from independent software assets participating in an ecosystem as one comprehensive solution.
In his keynote at @ThingsExpo, Chris Matthieu, Director of IoT Engineering at Citrix and co-founder and CTO of Octoblu, focused on building an IoT platform and company. He provided a behind-the-scenes look at Octoblu’s platform, business, and pivots along the way (including the Citrix acquisition of Octoblu).
SYS-CON Events announced today that A&I Solutions has been named “Bronze Sponsor” of SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Founded in 1999, A&I Solutions is a leading information technology (IT) software and services provider focusing on best-in-class enterprise solutions. By partnering with industry leaders in technology, A&I assures customers high performance levels across all IT environments including: mai...
SYS-CON Events announced today that delaPlex will exhibit at SYS-CON's @ThingsExpo, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. delaPlex pioneered Software Development as a Service (SDaaS), which provides scalable resources to build, test, and deploy software. It’s a fast and more reliable way to develop a new product or expand your in-house team.
Five years ago development was seen as a dead-end career, now it’s anything but – with an explosion in mobile and IoT initiatives increasing the demand for skilled engineers. But apart from having a ready supply of great coders, what constitutes true ‘DevOps Royalty’? It’ll be the ability to craft resilient architectures, supportability, security everywhere across the software lifecycle. In his keynote at @DevOpsSummit at 20th Cloud Expo, Jeffrey Scheaffer, GM and SVP, Continuous Delivery Busine...
SYS-CON Events announced today that Progress, a global leader in application development, has been named “Bronze Sponsor” of SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Enterprises today are rapidly adopting the cloud, while continuing to retain business-critical/sensitive data inside the firewall. This is creating two separate data silos – one inside the firewall and the other outside the firewall. Cloud ISVs ofte...
DevOps at Cloud Expo – being held October 31 - November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA – announces that its Call for Papers is open. Born out of proven success in agile development, cloud computing, and process automation, DevOps is a macro trend you cannot afford to miss. From showcase success stories from early adopters and web-scale businesses, DevOps is expanding to organizations of all sizes, including the world's largest enterprises – and delivering real r...
SYS-CON Events announced today that Systena America will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Systena Group has been in business for various software development and verification in Japan, US, ASEAN, and China by utilizing the knowledge we gained from all types of device development for various industries including smartphones (Android/iOS), wireless communication, security technology and IoT serv...
With major technology companies and startups seriously embracing Cloud strategies, now is the perfect time to attend @CloudExpo | @ThingsExpo, June 6-8, 2017, at the Javits Center in New York City, NY and October 31 - November 2, 2017, Santa Clara Convention Center, CA. Learn what is going on, contribute to the discussions, and ensure that your enterprise is on the right path to Digital Transformation.
SYS-CON Events announced today that Super Micro Computer, Inc., a global leader in compute, storage and networking technologies, will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Supermicro (NASDAQ: SMCI), the leading innovator in high-performance, high-efficiency server technology, is a premier provider of advanced server Building Block Solutions® for Data Center, Cloud Computing, Enterprise IT, Hadoop/...
SYS-CON Events announced today that CollabNet, a global leader in enterprise software development, release automation and DevOps solutions, will be a Bronze Sponsor of SYS-CON's 20th International Cloud Expo®, taking place from June 6-8, 2017, at the Javits Center in New York City, NY. CollabNet offers a broad range of solutions with the mission of helping modern organizations deliver quality software at speed. The company’s latest innovation, the DevOps Lifecycle Manager (DLM), supports Value S...
Cloud promises the agility required by today’s digital businesses. As organizations adopt cloud based infrastructures and services, their IT resources become increasingly dynamic and hybrid in nature. Managing these require modern IT operations and tools. In his session at 20th Cloud Expo, Raj Sundaram, Senior Principal Product Manager at CA Technologies, will discuss how to modernize your IT operations in order to proactively manage your hybrid cloud and IT environments. He will be sharing bes...
SYS-CON Events announced today that Twistlock, the leading provider of cloud container security solutions, will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Twistlock is the industry's first enterprise security suite for container security. Twistlock's technology addresses risks on the host and within the application of the container, enabling enterprises to consistently enforce security policies, monitor...
SYS-CON Events announced today that Peak 10, Inc., a national IT infrastructure and cloud services provider, will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Peak 10 provides reliable, tailored data center and network services, cloud and managed services. Its solutions are designed to scale and adapt to customers’ changing business needs, enabling them to lower costs, improve performance and focus intern...
While some vendors scramble to create and sell you a fancy solution for monitoring your spanking new Amazon Lambdas, hear how you can do it on the cheap using just built-in Java APIs yourself. By exploiting a little-known fact that Lambdas aren’t exactly single threaded, you can effectively identify hot spots in your serverless code. In his session at 20th Cloud Expo, David Martin, Principal Product Owner at CA Technologies, will give a live demonstration and code walkthrough, showing how to ov...