logo-loader
viewIconic Labs PLC

Iconic Labs surges as it inks management services deal for JOE media business

The deal follows the buyout of JOE from administration by Greencastle Capital and is expected to contribute “a significant amount of revenue” to Iconic

Iconic Labs PLC - Iconic Labs inks management services deal for JOE media business

Iconic Labs PLC (LON:ICON) said it has signed a services contract with Greencastle Capital to manage the JOE media business, which has been bought out of administration following its collapse in May.

The media technology firm said under the terms of the deal it will immediately manage all operational and commercial aspects of the JOE media businesses in the UK and Ireland following regulatory clearance. In return, the company will be paid a monthly fee of £50,000 as well as 25% of all profits if certain targets are met.

READ: Iconic Labs updates on Greencastle bid for JOE media brand

JOE media is the largest independent digital media company in the Republic of Ireland and has been one of the fastest growing media companies in the UK since it launched in 2015. The brand is well known for its ‘House of Rugby’ series, the most-watched rugby show in the world, and generated over £10mln in revenue in 2019.

Iconic said it expects the contract to contribute “a significant amount of revenue” which will enable it to become “operationally profitable within three months”.

“We are delighted to have been involved in Greencastle Capital's successful bid for JOE media, which involved a very competitive sales process among more than 15 different bidders”, Iconic Labs chief executive John Quinlan said in a statement.

“The acquisition of the JOE media UK businesses by Greencastle Capital is by far the biggest deal we have been involved with as a company so far… With JOE media's credibility in specific areas like politics and sport, Iconic Labs now has access to some best in class assets through the management services contract”, he added.

Quinlan also said that revenues from the deal meant the firm had reached a stage where it can consider other financing arrangements and hoped the agreement will “provide an opportunity for the company to raise sufficient equity capital to be able to look at the company's options for more conventional equity raises and/or conventional debt” to finance its growth on a more conventional funding basis.

The company's shares surged 51.2% to 0.016p in mid-morning trading on Wednesday.

--Adds share price--

Quick facts: Iconic Labs PLC

Price: 0.0101 GBX

LSE:ICON
Market: LSE
Market Cap: £833.07 k
Follow

Add related topics to MyProactive

Create your account: sign up and get ahead on news and events

NO INVESTMENT ADVICE

The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...

In exchange for publishing services rendered by the Company on behalf of Iconic Labs PLC named herein, including the promotion by the Company of Iconic Labs PLC in any Content on the Site, the Company receives from...

FOR OUR FULL DISCLAIMER CLICK HERE

Watch

Market Report: FTSE 100 retreats as UK employment tumbles

Headlines from the Proactive UK newsroom. The FTSE100 was on the back foot as the new job numbers highlighted how business is suffering due to the pandemic. The blue chip-index shed 60 to 6,232. People on UK payrolls fell by 649,000 between March and June, according to the government....

2 weeks, 5 days ago

2 min read