Live Company Group PLC (LON:LVCG) said its subsidiary, Bricklive Touring Limited, has signed a show licence agreement with Oracle Projects International Co. Limited and Live Digital, Inc. Limited to stage and promote its BRICKLIVE Animal Paradise shows.
The AIM-listed media group said the agreement would initially cover shows in South Korea and Macau, but had options for Japan, Taiwan, and Hong Kong with additional licence fees.
The company said the agreement is for an initial three-year term and may be extended for a further three years. Under the agreement, Bricklive Touring Limited would provide content on loan for the BRICKLIVE Animal Paradise shows in return for the payment of content and license fees totalling US$2.05mln for the initial three-year term.
The first location under the agreement will be the Busan International Film Festival, which will consist of a precursor to the BRICKLIVE Animal Paradise running from July 2018 to November 2018, and an experiential BRICKLIVE, featuring LEGO wizard and Knight Models, to run until February 2019.
David Ciclitira, executive chairman of Live Company, said the new shows represented a “significant increase on what the BRICKLIVE brand has been to date”, adding that Oracle and Live Digital “really want the option to extend [the options in the agreement] and are very excited about the other markets in the contract” which have the potential to generate “significant additional licence fees” of around US$500,000 annually in Japan alone.
In a separate announcement, the group also unveiled its full-year results, in which it reported an operating loss of £391,000 compared to a £60,000 profit last year, mainly due to exceptional costs and write-downs relating to the reverse acquisition of Brick Live Group in December 2017.
Revenue for the group was reported at £1.92mln, up from £1.73mln the year before, although the company said this had been flattered by the inclusion of around £1.1mln of 2016 revenue derived from the sale of a 50% interest in Brick Live Far East Ltd.
Ciclitira said: “The reality is those accounts are not really related to this particular company as we are now … they relate to the acquisition they don’t relate to the business we’re in now”.
He added: “The business is going to be profitable this year … we are investing in our sets, growth and the brand which is where the ultimate value of the company is going to come”.
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