LONDON (ShareCast) - (ShareCast News) - Ten Alps expanded its presence in the corporate video production market on Friday, announcing the acquisition of a fellow player in the UK market.
The AIM-traded company, trading as Zinc Media, said the acquisition of Straker Films would further its strategy of becoming a major player in the corporate storytelling market, bringing with it a blue chip client base and an 'impressive' showreel.

It described Straker as an award-winning corporate video production business, working with companies and organisations to help them communicate with customers, staff and the public.

Under the terms of the share purchase agreement, the net initial consideration was £110,000 to be paid in cash instalments between completion and September 2016.

An element-deferred consideration would be payable in cash, equal to a percentage of the revenues of Straker Films in the year following completion. The percentage would be between 3% and 10% of revenues, depending on the level achieved.

"Ten Alps has already broadened its range of television production through the acquisition of Reef TV and its investment in Chrysalis Vision," said Ten Alps CEO Mark Wood.

"The acquisition of Straker Films gives Ten Alps a significant and credible footprint in the corporate video and storytelling market and we look forward to growing our business in this high growth market."

In the year to 29 February, Straker Films generated revenue of £0.64m and a profit before tax of £0.19m. Its net assets on that date were £0.79m.

Straker Films would be located in the London office of Ten Alps, working with the existing corporate communications team and the group's television production business.

"I am delighted that Straker Films is entering the next phase of its growth in conjunction with Ten Alps," said founder Nick Straker.

"Straker Films has had a long working relationship with Ten Alps and we see the opportunity to become a player of much larger scale in the high growth corporate storytelling market."

Both Nick Straker and co-founder Nicola Mann would remain as freelance consultants to Straker Films for a period of time to ensure a smooth handover.

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