MTG goes on buying spree

European broadcaster Modern Times Group (MTG) has taken a majority stake in a Norwegian prodco as well as acquiring UK distribution company DRG and bringing its founder back to the company.

Jeremy Fox

The broadcasting group has taken a 51% stake in Novemberfilm of Oslo, for an undisclosed fee, and has acquired 92.4% of DRG for £15m (US$23.4m), causing a change in management at the company.

Founder and former DRG CEO Jeremy Fox will rejoin the company as CEO, having left last year. He replaces Jonathan Jackson, current MD of DRG, who has decided to leave the company.

London-based DRG was founded in 2006 and has 32 employees. It distributes titles such as Doc Martin, The Inbetweeners, Catch Phrase and Heston’s Fantastical Foods.

The shares in DRG have been acquired from private shareholders and majority shareholder Ingenious Media Active Capital, which has been on the verge of selling its shares since August last year.

The remaining 7.6% of the DRG shares are to be held by Fox and his management team. The company generated preliminary and unaudited revenues of £23.4m in the 12 months to 31 March 2013, according to MTG.

Meanwhile, the shares in Novemberfilm have been acquired from the company’s current management, with the remaining 49% of the company continuing to be owned by members of the management team. Novemberfilm was established in 2004 and has offices in Oslo and Arendal, with a total of 12 employees.

Its key formats include The Zookeepers, Insider and Missing. The company’s current management, which are selling the shares, will remain with the group after the integration of Novemberfilm within MTG Studios.

Jørgen Madsen Lindemann, president and CEO of MTG, said: “These acquisitions reflect our strategy of increasing our international content rights portfolio, and broadening our international customer base. I look forward to welcoming these talented teams into MTG.”

“We are very happy to welcome Jeremy Fox back as CEO for DRG. He and the rest of the team will be a valuable addition to the MTG Studios team. That also goes for Novemberfilm, which provides us with a strong addition to MTG Studio’s current content portfolio in Norway.”