‘More com­plete port­fo­lio for ad­ver­tis­ers’

New Straits Times - - News -

KUALA LUMPUR: Me­dia Prima Bhd’s ac­qui­si­tion of REV Asia Hold­ings Sdn Bhd will give the coun­try’s largest in­te­grated me­dia group a more com­plete port­fo­lio that should at­tract more ad­ver­tis­ers, an­a­lysts say.

TA Se­cu­ri­ties an­a­lyst Paul Yap said Me­dia Prima and REV Asia busi­nesses were com­ple­men­tary, and Me­dia Prima could also cross-sell its prod­ucts to REV Asia’s cus­tomers.

“Ad­ver­tis­ers can ben­e­fit from a more com­plete port­fo­lio of me­dia as­sets (tele­vi­sion, print, ra­dio, out-of-home, con­tent, dig­i­tal me­dia),” he said.

REV Asia Hold­ings, Yap said, was also strong in spon­sored sto­ries, which formed the bulk of its rev­enue and drew higher yields.

An­other an­a­lyst from a bankbacked bro­ker­age said the ac­qui­si­tion would give Me­dia Prima ac­cess to a wider au­di­ence, and more fo­cus on young ur­ban­ites aged be­tween 18 and 35.

On the RM105 mil­lion price tag, the an­a­lyst said cash would not be an is­sue for Me­dia Prima.

“The group can af­ford this over the long-term growth that can be pro­vided by REV Asia,” he said.

Me­dia Prima yes­ter­day an­nounced that its wholly-owned sub­sidiary, Me­dia Prima Dig­i­tal Sdn Bhd (MPD), was buy­ing 100 per cent eq­uity in­ter­est in REV Asia Hold­ings Sdn Bhd.

In a state­ment yes­ter­day, MPD chief ex­ec­u­tive of­fi­cer Rafiq Razali said the ac­qui­si­tion price was jus­ti­fied in view of the po­ten­tial

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