....In March 2000 MultiEmedia joined their partnership, buying a 23 per cent stake. At the same, MultiEmedia enticed Vizard to join its board as chairman in return for 4.5 million MultiEmedia share options. These were exercisable at 20 ¢, and with shares trading at 80 ¢, they were already comfortably in the money.
Within eight days Vizard had made $2.7 million by exercising half the options.
The options trade took several months to surface because Vizard's accountant had failed to notify the stock exchange, but when it eventually became public in August, a month before Vizard resigned from the Telstra board, he said he took the options instead of directors' fees.
He said the MultiEmedia board had agreed he could immediately sell half of them to pay his tax liability.
....
IcUrPoint said:your rival H/C don't want anyone to reveal the facts on MUL. hundreds of posts have been removed in the last few days on MUL and particularly Adrian Ballantine.
will it bother you or the owners of this site if the true facts about mul and Adrian Ballantine is brought in public domain?
I continue to have great interest in this stock. Current movement relates to Mul's company "NEWSAT" being mentioned on 'Your Business Success' program on channel 9 on Sunday morning. They are part of a package called NLIS( National Livestock Identification Scheme) currently being promoted to farmers in Australia. (refer www.psystems.com.au for futher details).TheProphet said:Some serious volume and movement today. Possible shorterm breakout.
Not aware of anything, although it may have something to do with Airworks, which went under their umbrella a few years ago, although may not have been fully owned. I find it odd for a two day halt for something minor. That glip in the share price on Monday, leads me to think other people have caught wind of something, that jump in price indicates any announcement will be favourable.mhutch said:This trading halt must be something else, its too early to be tied up with the $3B bush fund.
Any ideas??
Cheers,
mhutch
MULTIEMEDIA PURCHASES WORLD CLASS MEDIA PORT FACILITIES AND PROFITABLE BUSINESS FROM NEW SKIES SATELLITES
Thursday 25 August 2005
Multiemedia (ASX: MUL) today announced it has signed an agreement to acquire 100% equity of New Skies Networks Australia Pty Ltd (NSN) from Netherlands-based satellite communications company New Skies Satellites B.V.
The A$13 million cash purchase comprises an upfront payment of A$2 million with the remainder to be settled in 60 days. The new entity will operate as an Australian registered company known as NewSat Networks Pty Ltd.
The New Skies Networks acquisition will deliver immediate cash flow positive results for Multiemedia, whose existing operating divisions recently became cash flow and EBITDA positive. New Skies Networks achieved total revenues of A$22.9 million for the fiscal year ended 31 December 2004 and an after tax net profit of A$5.4 million.
The deal comes with a very substantial back-log of contracted secure revenue over the next three years and will extend Multiemedia’s reach into the oil, gas, mining, broadcasting and Government sectors.
Adrian Ballintine, the Founder and CEO of Multiemedia, described the acquisition as a significant investment that reflects the growing nature of the company.
“We have invested heavily over the past few years in building a solid business foundation capable of delivering sustainable, long-term and recurring revenues for our shareholders. This period of waiting is now over,” Ballintine said. “Our business has turned a corner with the acquisition of New Skies Networks the icing on the cake.”
He added that the purchase was extremely profitable and presented direct synergies with Multiemedia’s existing businesses, in particular its NewSat satellite delivery arm. “Combined, these businesses will deliver substantial profits for our shareholders,” Ballintine said.
The transaction will be funded by increased share capital, with the number of shares on issue expected to increase from approximately 1.6 billion to 2 billion.
“Multiemedia has deliberately not taken any bank debt to fund this acquisition,” Ballintine said. “This has been a strategic move aimed at providing a fast track to dividends for our shareholders.”
The acquisition will see Multiemedia take ownership of New Skies Networks’ ongoing business, its Sydney head office and a substantial network of assets including two modern media port facilities in Adelaide and Perth, which are set upon three acres and one-and-a-half acres of land.
“Ownership of the media ports will create a new revenue stream for Multiemedia and eliminates costs,” Ballintine added. “In the past we had to lease media port services from other companies but now we’ll be able to provide them, which means some of our competitors today will become our customers tomorrow.”
Politically, geographically and climatically Australia offers a safe environment to house media port facilities. “Satellite technology is the future of general communications, entertainment, education and health services,” Ballintine said. “We expect to see greater up-take of our services as the market realises satellite communications has matured and is now an affordable and effective option.”
Together, NewSat and NewSat Networks will be able to provide satellite coverage to 75% of the world’s population including Europe, the Middle East, Africa and Asia, making Multiemedia one of the largest media port operators and satellite service providers in the southern hemisphere.
As a result of the acquisition, the previously announced Multiemedia financial forecast for FY06 is redundant.
Joe Blow said:Interesting announcement:
Any comments?
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