UK media firm launches listed PE vehicle

Ingenious Media Active Capital hopes to raise £250 million through an IPO in order to acquire young media companies.

Ingenious Media, the UK-based boutique financial services group, is launching an AIM-listed investment company which will invest in small, privately held media companies.
 
Ingenious Media Active Capital (IMAC) will receive a £10 million investment from its parent company, and is hoping to raise up to £250 million (€365 million; $441 million) in an IPO expected next March. It is hoping to achieve annual returns in excess of 15 percent.
 
The closed-end investment company is believed to be the first of its type in the UK. It will differ from mainstream private equity vehicles in not having to return its capital to investors within a set period.
 
IMAC will target young, pre-IPO media and entertainment companies in sectors including marketing, publishing, TV, film, and music industries, predominantly in the UK. It may also consider delisting companies with problems in the hope of turning them around under private ownership.
 
Sources close to the company told PEO that it would focus its efforts on companies that were taking advantage of technological or regulatory changes that are eroding historic barriers to entry.
 
IMAC is being advised stockbroking firm Bridgewell Securities.