Zinc Media Group raises $6m financing as it targets further growth

The Edge’s Essence of Qatar for Qatar Tourism

UK factual production group Zinc Media has raised £5m (US$6.1m) in financing to support the purchase of a corporate film prodco and further growth of the group.

AIM-listed Zinc raised the £5m by issuing five million new shares at 100p each, via broker Singer Capital Markets Advisory.

Furthermore, Zinc is set to pay an initial £2.1m for The Edge Picture Company, the UK-based brand and corporate film production company, with the expected cost of the transaction rising to £2.5m. Trillium Partners advised Zinc on the acquisition.

A further payment of £3.9m will be paid for The Edge if the company generates £5m in pre-tax earnings by June 2025. For the financial year to 31 December 2021, the company generated revenues of £8.2m, adjusted EBITDA of £800,000 and profit before tax of £500,000

Founded in 1990, The Edge is one of the largest such companies in the UK and operates from offices in London and Doha, Qatar.

Alongside its TV arm Zinc Television, Zinc currently operates Zinc Communicate, which specialises in corporate films for businesses, brands, advertisers and media owners, as well as podcasts, radio and branded entertainment.

Zinc Television makes range of factual TV programmes for UK and international broadcasters and OTT platforms, operating production labels such as Rex, Red Sauce, Tern and Brook Lapping.

Zinc said the group would continue to consider acquisition opportunities in line with its strategy of increasing factual content for television channels, and through expansion into other TV genres.