SINGAPORE (Aug 14): Spackman Entertainment Group has entered into a memorandum of understanding (MoU) for the proposed acquisition of 100% of the total voting shares in the company with full ownership of Take Pictures, a motion picture production company based in Korea and founded by movie producer Song Dae-Chan.
Take Pictures has developed and owns film projects including The Priests 2, a co-production with Spackman’s indirect wholly-owned subsidiary Zip Cinema.
Song, who is currently the founder and CEO of Take Pictures, previously spent 13 years working alongside Zip Cinema CEO, Eugene Lee.
While the consideration sum has yet to be determined, the MoU outlines that the aggregate consideration payable will be fulfilled via cash, in the issuance of new shares and/or convertible bonds in Spackman, or a combination of both.
In a Monday announcement, Spackman emphasises that the transaction is at a preliminary stage, and that it will update its shareholders in the event of any material developments.
The exclusive period of the MoU is until Oct 31.
“The potential acquisition of Take Pictures is in accordance with our objective to continually seek acquisitions that will strategically add accretive value to our existing movie production business,” comments Charles Spackman, executive chairman and CEO of Spackman Entertainment Group.
“As a 15-year veteran movie producer, Mr. Song has previously worked at Zip Cinema and closely with our chief producer, Ms. Eugene Lee, and therefore understands the discipline and values in the Group’s approach to film making. As such, we believe that Take Pictures is wellequipped with the capabilities to replicate the success of Zip Cinema.”
Shares of Spackman closed 2.8% lower at 10 cents on Friday.