Screen Network First Round Funding
FIRST ROUND FUNDING
Screen Network has today announced that it has secured £500,000 of equity capital in its first round of fundraising. The money has been principally provided by The Summit Group Ltd, Summit Alpha Ltd and Jim Walsh of the Commer Investment Fund.
Screen Network supplies, programmes, installs and manages large plasma television screens in shopping centres and provides the content for them. These screens provide shoppers with continuous programmes including local and national advertising, features, news, traffic and other information. This allows retailers in the shopping centres, and other local and national advertisers, to reach potential customers very close to the point of sale - and at very low cost.
Screen Network has conducted a successful pilot scheme at Land Securities’s White Rose shopping centre in Leeds. This first round of funding has been provided to enable Screen Network to roll out its service to other shopping centres.
Kit Hunter Gordon, managing director of The Summit Group, said:
“The success of the White Rose pilot scheme confirms our belief in the viability and scalability of Screen Network’s service. We are confident that the combination of the product, the management team, and further funding with any external support we can provide will allow the business to capitalise on the strong start it has made. ”
Jim Walsh, Chairman of the Commer Investment Fund, added:
“We have been involved with Screen Network for some time and during this period we have been impressed by the company’s product, management and focus. We believe that there is due to be a significant change in the focus of the media industry and that Screen Network is now in a position to capitalise on these changes.”
John Harrison, managing director of Screen Network:
“Until now the business has largely been funded by the company’s directors. However, in order to expand into the significant number of additional shopping centres that we have identified, we require further funding beyond our own resources. It is very difficult to find development capital of less than £1 million that is not either bank debt or from investors who want a day-to-day management role. We are very pleased, therefore, that Summit and Commer are supporting us, as they understand our business and, in addition to the provision of capital, will bring their considerable business experience and contacts to bear on the development of our business.”
For more information please call:
Kit Hunter Gordon The Summit Group 020 7614 0000
Jim Walsh Commer Investment Fund 01937 833311
Christopher Joll/Tim McCall mj2 020 7491 7776
Notes to editors:
The Summit Group
The Summit Group is a London based, privately owned and independent venture capital business that provides seed and development capital to businesses that are usually at the early stages of their corporate life cycles.
Summit typically invests between £250,000 and £500,000 for a minimum of 20% of the voting rights of a business. Summit’s investments are typically in the Business Services, Outsourcing, Finance, Marketing, Software, Environmental, and Energy sectors. Summit invests both its own resources directly and through its 41.5% owned investment company, Summit Alpha, whose investments it manages.
Summit has no fixed timetable for exiting its investments. It aims to work in partnership with its investee companies to maximise the businesses’ potential by providing management and administrative support and access to the Group’s contacts, in order to allow the entrepreneurs to concentrate on what they do best.
At 31 March 2002 Summit’s investments were valued at approximately £14.5 million.
Screen Network was established in October 2001 by John Harrison to develop a new digital outdoor media format allowing the display of information in real time.
Ultimately, the company intends to develop a presence in up to 40 shopping sites, creating a national network throughout the UK to a weekly audience of more than 12 million.
Network airtime is offered to advertisers in packages of 60 seconds per hour, which may be taken up in any multiple of 10 seconds. Sponsorship and bespoke packages can also be negotiated.