AIM Admission
Bright Things plc
30 April 2004
30 April 2004
Bright Things plc ('Bright Things' or the 'Company') announces admission of its
ordinary shares to trading on the Alternative Investment Market
Placing
• Admission to the Alternative Investment Market
• Fundraising of £4.5 million of new money to assist in:
- the further development of Bright Thing's prototype interactive
educational children's console, into commercial production;
- the development of a range of interactive DVD software for the
console; and
- securing licences, on which the software will be based, from
established brands in the children's market place.
• Total of 5.0 million ordinary shares of 10p per share have been
placed at the Placing Price of 90p by Corporate Synergy Plc and Kelton
International Limited
• Expected market capitalisation on admission of £13.5 million
• First dealings in the shares are expected to take place today, 30 April
2004
• Corporate Synergy Plc acted as nominated adviser, joint financial
adviser and broker and Kelton International Limited acted as joint
financial adviser
Bright Things
• Bright Things has developed and owns the intellectual property for a
new educational games platform aimed at the pre-school market. Patent
applications have been submitted in the US and Europe
• The Company intends to establish the console as a leading platform
within the early learning interactive console sector using the
functionality of the DVD and products based on popular characters aimed at
pre-school children. Discussions are on-going with major character licence
holders
• A prototype has been developed. The next stage is to begin the design and
manufacture of the final product
• The largest sector of the UK toys and games market, infant and
pre-school toys, has registered above average growth between 2000 and 2002
(Source: Mintel, Consoles and Games, Market Intelligence, July 2003)
• Bright Things has a proven management team, all of whom have
considerable experience in the interactive games industry, several of whom
have previously worked together at Eidos
• The Company has a business model that has already been proven in the
video games market
• It is intended that the product will represent an initial revenue
stream for the Company, with a soft launch planned between Christmas 2004
and Easter 2005
Ian Livingstone, non-executive Chairman, commented:
'We are delighted with the response to the share placing and the endorsement it
represents for Bright Things and its prospects. We believe that our product is
a groundbreaking invention. Admission to AIM will now enable us to take the
technology to the next stage and begin to realise its potential in an attractive
growth market.'
Dominic Wheatley, Chief Executive Officer, commented:
'Every parent of young children has witnessed a child's frustration at his
inability to use the games platforms currently available. Our new educational
console addresses this problem by combining the accessibility of the DVD with
the power of characters popular with pre-school children. Our AIM flotation
represents a new and exciting step for all the team at Bright Things.'
Enquires:
Corporate Synergy Plc Justin Lewis 020 7626 2244
Brunswick Jonathan Glass 020 7404 5959
Kate Holgate
Mark Antelme
Notes for Editors
THE BUSINESS
Bright Entertainment was formed in June 2002 by Dominic Wheatley and John
Kavanagh, the inventor of the technology, to develop and exploit the prototype
interactive educational children's console. Bright Entertainment has been
predominantly funded to-date by Dominic Wheatley. Bright Things is a newly
formed holding company for the Group.
Since its formation Bright Entertainment has built a management team, developed
a demonstration model and produced demonstration software. The Group has
applied for patents in the US and Europe and is in discussions with major
character licence holders.
The Group will initially have three key aspects to its business:
• the development and manufacture of the console;
• the licensing of characters that will form the basis of the games; and
• the development of games to be played on the console.
So far as possible the Group will outsource the design and manufacture of the
hardware and instruct third party games developers to create the games. The
principal role of the Group will therefore be the ownership of the Intellectual
Property relating to the system and the marketing and distribution of the
system.
THE MARKET
The UK consoles and games market totalled £1.86 billion in 2002. This excludes
the video and computer games market worth £2.05 billion and sales of children's'
video and DVD. The largest sector of the UK consoles and games market, infant
and pre-school consoles, has registered above average growth between 2000 and
2002.
Fuelling this market is the effect of the growing amount of money being spent on
children at this age. The result is that many consoles and games bought for the
infant sector are increasingly more sophisticated than was the case a decade
ago, leading to more expensive purchases generally.
The last decade has seen the expansion and development of the video and computer
games market. In the opinion of the Directors, this market is predominantly
aimed at teenagers and young adults. The Group has developed a platform that is
targeted at the pre-school market.
The Directors believe that the pre-school market offers a significant business
opportunity for the Group. The Directors believe parents are looking for
products that provide both enjoyment and education for their children. The
current games platforms are unsuitable as they are generally too complicated to
be operated by young children and often have inappropriate content.
The Directors believe that the Group has the opportunity to establish the
product as a leading platform within the early learning interactive console
sector. Products based on popular characters aimed at pre-school children are
an established route into this market. The Group intends to develop interactive
educational entertainment DVDs for the platform, harnessing the power of these
children's brands.
DIRECTORS
Ian Livingstone, aged 54, Non-Executive Chairman, has been in the interactive
games industry for over 25 years. In 1975, with Steve Jackson, he founded Games
Workshop and launched Dungeons & Dragons in Europe. In 1982 he co-authored the
first of the multi-million selling Fighting Fantasy Game books. He has
published games magazines and has had several of his own games published. An
early investor in Domark, he joined the company in 1992. When, in 1995, the
company was reversed into Eidos, he was appointed Executive Chairman of the new
group until 2002. He has helped Eidos secure many of its major franchises,
including Tomb Raider. He is presently Creative Director of Eidos.
Dominic Wheatley, aged 44, Chief Executive Officer, worked in an Advertising
Agency before co-founding Domark in 1984, a video games company that he later
reversed into Eidos. In 1992 Dominic established Domark's US subsidiary in
California. The company changed its name and Dominic served as CEO of Eidos
Interactive until 1997. He then became an investor in various companies, some
of which he joined as a director and helped float on the London Stock Exchange
(Statpro, Kuju and Telecom Plus). He is Chairman of Highway Capital plc, and
has commercial interests in France. Dominic will have day to day responsibility
for the management of the Group.
John Kavanagh, aged 36, Chief Technical Officer, is the inventor of the device.
As an Executive of Eidos Interactive, John served as Vice President of
Development of Eidos US Inc. (a wholly owned subsidiary of Eidos) then as group
Publishing Director. After three years in this role he then ran Eidos's US
Studios including Ion Storm and Crystal Dynamics. John will be responsible for
the continued development of the platform and he is currently based in the US
where he also runs the US office of the Group.
Matthew Tims, aged 43, Publishing Director, is responsible for all commercial
exploitation of the device, negotiating publishing and licencing contracts with
high profile licence holders. Matthew has 21 years of experience in computer
software publishing through previous positions with Palace Software and Domark.
Prior to joining the company, Matthew was Chief Executive at Two Way TV, a
company specialising in interactive television. Matthew will be responsible for
the acquisition of licences for the platform.
Adrian Moores ACA, aged 31, Finance Director, qualified with Critchleys, an
18-partner practice in Oxfordshire. He then joined KPMG and specialised in
advising software and hardware companies. He was a finance manager for Unipart
International, the sales and marketing division of the Unipart Group of
Companies. He spent three years as European Financial Controller for 3DO, a
video games publishing company. Since 2002, he has worked with Crunchwell
advising start up and entrepreneurial businesses. Adrian will be responsible
for the financial function of the Group.
Charles Fairbairn ACA, aged 42, Non-Executive Director, has many years'
experience in the media sector and in growing entrepreneurial companies. At
Pearson plc, he worked as Finance Director of Pearson New Entertainment, a
start-up division with interests in computer publishing, and as Group Chief
Accountant. Pearson New Entertainment Limited was sold in 1998 to Apax Partners
for £142 million. Since then he has provided advice to small and growing
companies. He is also a non-executive director of Statpro Group plc and Finance
Director of Advance Capital Invest plc, both AIM listed companies.
This information is provided by RNS
The company news service from the London Stock Exchange