Ten Alps has raised £4.5M, acquired a new television company and bought in new board members in a major turnaround for the Macclesfield-based media group which also sees the company’s founder Bob Geldof step down.
Just a couple of months ago, the company was reporting a sharp drop in revenue and profits.
CEO Mark Wood described the moves as significant.
He said: “This is a significant moment in the turnaround of Ten Alps. The proposed acquisition of Reef Television is an important first step in a strategy to achieve greater scale and momentum in our TV and digital content businesses.
“The new capital structure will enable us to invest in faster growth, with the guidance of our experienced Board members appointed today. Together, as an enlarged Group, we intend to bring in the commercial and creative talent needed to drive growth across Television, Communications and Publishing both organically and via selective acquisitions.”
The company also announced that Geldof has stepped down from the Board and that financier Timothy Hoare will leave at next month’s AGM.
Geldof said: “This is the best thing for Ten Alps in years. This re-structuring puts us in a perfect position for a hugely exciting media future. Having Luke and Jonny on board says it all really. It is exactly what we need.”
New board members announced are Luke Johnson, Chairman of Patisserie Valerie and former chairman of Channel 4, and Jonathan Goodwin, a media and technology entrepreneur.
The £4.5m was raised via an oversubscribed funding round and the restructuring announced today includes a share consolidation at a rate of 1 share for each 10 old shares. The debt restructure involves £9m of debt being turned into new equity. The company will hold £2m of debt at completion.
Reef Television is being acquired for a cash up-front payment and a share and cash earn-out over three years.
Reef Television produces factual television, including long-running series such as “Put Your Money Where Your Mouth Is” (BBC One) and “Selling Houses with Amanda Lamb” (More 4), alongside ratings-hit “Penelope Keith’s Hidden Villages” (More 4) and blue chip music films such as “Messiah at the Foundling Hospital” (BBC Two) and the soon to air “La Traviata: Love, Death and Divas” (BBC Two).