CATALIST-LISTED film producer and investor Spackman Entertainment Group is looking to buy the entire stake in South Korean film production company, Simplex Films, for S$3.3 million in new Spackman shares.
The total purchase consideration will be 165 million new shares in Spackman, at two Singapore cents apiece. This works out to a price tag of around S$3.3 million.The issue price of two cents represents a premium of 17.6 per cent to the stock's volume weighted average price of 1.7 Singapore cents per share based on trades done on July 12.
The acquisition is subject to conditions precedents such as the veracity of warranty, completion of Spackman’s due-diligence exercise including the valuation of SFL, regulatory approvals, and the consent of the boards of directors of SFL and Spackman. Simplex will first release its films in South Korea, and subsequently in post-theatrical markets such as cable television, broadcast television, Internet Protocol television , video-on-demand, and home video or DVD.