Deutsche Entertainment AG (DEAG) is pushing forward with its ambitious buy-and-build strategy after becoming the majority shareholder in German electronic music promoter I-Motion.
DEAG has bought a 50.1-per-cent stake in the German operating unit of US-based LiveStyle, a global music event producer.
I-Motion, which sells more than 200,000 tickets a year, promotes between six and eight electronic music events a year. The flagship event Nature One will celebrate its 25th edition this year with more than 60,000 attendees across four days.
Nature One became one of the largest rave events in Germany and one of the largest European events of the electro music scene in 2018.
I-Motion’s other long-established events include Mayday and Ruhr in Love, which, together with Nature One, attracts more than 2.5 million visitors per year.
Peter Schwenkow, chief executive of DEAG, said: “The partnership with I-Motion and LiveStyle offers us further potential for our ticketing business. Through the targeted introduction of individual events abroad, we will also have the opportunity to grow internationally. For example, by offering the established and very successful electronic event ‘Mayday’ again in Poland, the UK and Switzerland in the future.”
It is the latest development in DEAG’s ambitious buy-and-build strategy, with the group having identified high synergy potential in the live entertainment and ticketing business. DEAG said it expects the additional annual tickets to stimulate growth in the ticketing business via MyTicket.
The DEAG executive board said it estimates that the additional sales potential for the firm will total €15m (£13.3m/$16.9m) annually.
Chuck Ciongoli, executive vice president and chief financial officer of LiveStyle, said: “In recent years, I-Motion has shown, above all by planning, organising and carrying out its own projects, that our German subsidiary always knows how to set new accents in the field of events and entertainment and profits from our international network.
“With DEAG, we now have a strong partner at our side who can look back on a wealth of experience in this market. We are convinced that both sides will benefit from our new relationship and are looking forward to a long-term partnership.”
LiveStyle, the US parent company of I-Motion, is headquartered in Los Angeles, with offices in New York, Chicago, Denver, Australia, The Netherlands, Germany and Brazil.
The acquisition of I-Motion comes off the back of DEAG’s acquisition of majority shares in German promoter C² Concerts, which has an annual turnover of €7m and promotes around 200 events per year.
Image: Pxhere
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