VVIP Ventures and a360 Media also announce
exclusive 90-day window for continuing discussions on
additional business collaborations
+ The first step in our highly accretive M&A growth strategy
and long-term vision to become one of the largest global content
publishers in the celebrity arena — Vinco will monetize and
modernize these iconic world-renowned legacy brands inside its
digital-first content ecosystem.
+ VVIP Ventures will continue to create and publish exclusive
celebrity news and content under the banner of these brands with
the help of the existing editorial team which will transition over
and will leverage Vinco's cross-platform content and advertising
partnerships through its existing digital platforms — including
Lomotif, AdRizer, Mind Tank, Magnifi U and Honey Badger.
+ Vinco will bring the rich and prestigious 96+ year archive of
content from the National Enquirer and these other publications to
life across its various digital formats.
+ Vinco's management remains focused on revenues and long-term
profitability with a clear objective to self-contain and in-source
all revenue synergies inside the content ecosystem.
ROCHESTER, N.Y., Feb. 6, 2023
/PRNewswire/ -- VVIP Ventures, LLC, a joint venture between Vinco
Ventures, Inc. (Nasdaq: BBIG) ("Vinco Ventures," "Vinco," or the
"Company"), a digital media and content technologies holding
company, and ICON Publishing, LLC has entered into an Asset
Purchase Agreement with magazine publisher a360 Media, LLC to
acquire in cash the National Enquirer (both U.S. and U.K.
editions), the National Examiner and Globe.
The transaction includes the acquisition of all print and
digital assets and owned intellectual property of the National
Enquirer (both U.S. and U.K. editions), National Examiner and
Globe. The editorial teams of a360 Media responsible for these
publications will also join the joint venture. The acquisition
brings more than 96 years of prized content into the Vinco
multimedia ecosystem creating new opportunities for wide-scale
exploitation through the company's digital, film, TV, digital and
social divisions.
In addition to the acquisition of the National Enquirer,
National Examiner and Globe, the Asset Purchase Agreement also
gives VVIP Ventures the exclusive right for a 90-day period to
discuss additional business collaborations with a360 Media.
The joint venture will also enter into a multi-year service
agreement for publishing, financial and distribution services with
a360 Media.
The closing of the acquisition is subject to certain consents
and customary conditions to closing as described in the Asset
Purchase Agreement. The media and entertainment team led by Tom K.
Ara at DLA Piper LLP negotiated and advised VVIP Ventures on the
acquisition. Paul Weiss Rifkind
Wharton & Garrison LLP represented the sellers.
Jolie Kahn, Esq., of NY, NY
represented Vinco Ventures in the transaction.
COMPANY STATEMENTS
"Vinco's digital platforms and capabilities are well positioned
to maximize revenues from these iconic and already profitable media
brands. Our digital ecosystem will be critical in heightening the
reputation and recognizability of the National Enquirer, National
Examiner and Globe to a broader audience and the editorial team
joining us from these publications will play an important role in
these efforts. We look forward to integrating these publications
into our business and continuing their legacy of success."
Executive Chairman of the Board, Rod
Vanderbilt said.
"The Vinco Ventures ecosystem and digital platforms provide an
opportunity for these brands to find further growth and opportunity
as we continue to sharpen our focus on a360 Media's women's
lifestyle and celebrity and entertainment brands, bolstered by the
recent acquisitions of Bauer's US publishing business and
Centennial Media. We look forward to our new partnership with Vinco
and ICON as we leverage accelerate360's vast operational resources
and services to provide publishing and distribution support for the
acquired brands." said a360 Media President, Doug Olson.
MONETIZING OPERATIONS
We expect to unlock value in the short, medium and long term for
our shareholders through in-sourcing and cost synergies. A key
business within the Vinco media ecosystem that will create new
monetization opportunities for the news portfolio in many ways is
AdRizer, a leading publisher and analytics solution with a focus on
revenue attribution, which Vinco acquired in February 2022. Vinco's AdRizer platform already
services companies such as Google, Taboola, and Outbrain, and runs
both real-time programmatic ad transactions and direct agreements
with agencies and advertisers in its own proprietary platform.
AdRizer's technology creates a virtual trading platform for
publishers and advertisers allowing them to connect and use A.I. to
provide the best possible advertising ROI real time. This includes
display and video ads across desktops, mobile apps, mobile web, and
TV.
Also cross-pollinating with the acquired media portfolio will be
Mind Tank – a digital media company that operates a portfolio of
different vertical brands connecting premium advertising partners
to its audience. Mind Tank creates and distributes easily
consumable content through social media and discovery networks
across all platforms and leverages its data-driven technology
solutions to help grow audiences, monetization and evolve digital
ecosystems.
Other platforms in Vinco's content-centric ecosystem include
Lomotif, which was recently ranked #3 in begindot.com's best TikTok
alternatives (https://www.begindot.com/best-tiktok-alternatives)
for sharing short viral videos, and Magnifi U, an immersive, online
education platform that helps its audience develop skills, nurture
strengths, and live in alignment with their purpose. Both platforms
will utilize and create content to be shared on the new platforms
as well as across the ecosystem to drive unique user
experiences.
TV, FILM & PODCASTS
Bringing high quality content across platforms strengthens
Vinco's end-to-end ability to monetize and bring to market its
intellectual property in increasingly attractive new formats.
Furthermore, a slate of additional brands is under development.
Vinco intends to aggressively pursue TV, film and podcast
licensing partnerships, as well as creating new productions,
leveraging the National Enquirer's legendary archive, in-depth
investigative journalism and breaking news.
While monitoring market trends and adjusting our strategy as
necessary to maintain a competitive edge, Vinco remains committed
to a financially disciplined approach — executing on
high-potential, profitable business acquisitions and expansions
through analysis of cash flow and EBIDTA that align with our
long-term vision and goals for efficient capital growth.
About ICON Publishing
Through innovation, disruption and content creation, ICON
Publishing, LLC, founded by Ted
Farnsworth, strives to create and monetize synergies between
legacy media brands and digital media brands.
About a360 Media
Accelerate360's media group, a360 Media, includes well-known
brands in celebrity/entertainment and women's lifestyle engaging
millions of consumers monthly across multichannel platforms
including digital, magazine, and social media channels.
About Vinco Ventures
Vinco Ventures, Inc. (Nasdaq: BBIG) is focused on the
development of digital media and content technologies. For more
information visit Investors.vincoventures.com.
Forward-Looking Statements and Disclaimers
This press release contains "forward-looking statements" as
defined in the safe harbor provisions of the U.S. Private
Securities Litigation Reform Act of 1995, which are based upon
beliefs of, and information currently available to, Vinco as well
as estimates and assumptions made by Vinco's management. These
statements can be identified by the fact that they do not relate
strictly to historic or current facts. When used in this press
release the words "estimate," "expect," "intend," "believe,"
"plan," "anticipate," "projected," and other words or the negative
of these terms and similar expressions as they relate to the
applicable company identify forward-looking statements. Such
statements reflect the current view of Vinco's management with
respect to future events and are subject to risks, uncertainties,
assumptions and other factors relating to Vinco and its
consolidated subsidiaries and variable interest entities, including
Lomotif, AdRizer and Honey Badger,
and their respective industries, financial condition, operations
and results of operations. Such factors include, but are not
limited to, uncertainties as to the expected benefits from Vinco's
investments in Lomotif, AdRizer and Honey
Badger and related growth initiatives including integration
of the AdRizer platform with Lomotif and synergies between AdRizer,
Lomotif and Honey Badger, and such
other risks and uncertainties described more fully in documents
filed by Vinco with or furnished to the Securities and Exchange
Commission, including the risk factors discussed in Vinco's Annual
Report on Form 10-K for the period ended December 31, 2021 filed on April 15, 2022, and Vinco's Quarterly Reports on
Form 10-Q filed thereafter including the Quarterly Report on Form
10-Q for the quarter ended March 31,
2022 filed on May 23, 2022,
which are available at www.sec.gov. Should one or more of these
risks or uncertainties materialize, or the underlying assumptions
prove incorrect, actual results may differ significantly from those
anticipated, believed, estimated, expected, intended, or planned.
Although Vinco believes that the expectations reflected in the
forward-looking statements are reasonable, Vinco cannot guarantee
future results, performance, or achievements. Except as required by
applicable law, including the securities laws of the United States, Vinco does not intend to
update any of the forward-looking statements to conform these
statements to actual results.
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SOURCE Vinco Ventures