Re Alliance
Cube8.com PLC
12 December 2000
Press Release 12 December 2000
Cube8.com plc invests in The Plain English Group
Cube8, the AIM-quoted Technology, Media and Telecoms incubation and investment
company which also provides consulting and technology services, is pleased to
announce that it has invested £475,000 cash as expansion capital in the Plain
English Group Limited (PEG), in return for a 13.2% equity stake. This is part
of a total fund raising of £600,000 by PEG, with the remainder of the new
money coming from a group of private investors.
PEG is the holding company for The Plain English Publishing Company Limited
(PEP), which was established in 1996, and The Plain English Network Limited
(PEN), which was formally incorporated in late 1999.
PEP publishes 'The Sticks', a monthly regional listings, general leisure and
lifestyle magazine. It currently covers the M25 catchment area and has an
expanding subscriber base, having grown from four counties at the end of 1999
to eleven by December 2000. 'The Sticks' had a monthly group circulation of
220,000, as of the end of November 2000. Listings information is non
London-centric and is more focused on leisure activities in smaller cities,
towns and rural areas. The roll-out plans call for 'The Sticks' to have
established itself in virtually all major areas of demographic density in the
UK by the end of 2001, involving a total of 28 editions.
PEN owns the website, www.the-sticks.com, which is the clear leader in not
only the 'What's On' field within its coverage area but, importantly, all the
thousands of local clubs and societies that don't always have date-sensitive
events. It has an extremely comprehensive local listings information, and the
on-line strategy is to develop that content into a vast network of sponsored
e-mail leisure newsletters alongside ticket sales facilities and county '
e-commerce directories' for all shops, categories and local services.
www.the-sticks.com plans to establish itself as the one-branded market leader
in localised leisure information delivery over the next two years, supported
by increasingly detailed content and free promotion from The Sticks. There are
plans to develop a number of registered 'local-channel' domain names into
separate web businesses, as the group expands further.
This agreement further strengthens the position of Cube8 in the media sector.
Currently the media companies which Cube8 has interests in include Harden's
Limited, the restaurant listing title, and Itchy Limited, the City guides
title for the 18 to 35 age range. PEG sits well with these titles and adds
breadth to the media holding.
Commenting on the investment, Brian Hindson, CEO of Cube8, said: 'The Plain
English Group is a good addition to our portfolio for two main reasons. First,
we can now develop packaged content from our three media businesses and
distribute this efficiently to other online properties, which will benefit all
three companies. Second, there are extensive synergies between PEG and other
members of the Cube8 portfolio, including in particular Blue Carrots, Planet
Three, Harden's and Itchy.'
Tim Parfitt, Founder and Chief Executive of The Plain English Group said: 'We
are very excited at the prospect of working both with Cube8 and specifically
those investee companies with which we have great synergies. The Cube8 team
will bring us invaluable expertise on the internet side of our business,
helping us to re-develop our ever-increasing print content into a
sophisticated on-line database with vast e-mail newsletter and e-commerce
potential. Cube8 understands and appreciates the value of content and
traditional media in the development of businesses on-line. We were already
working with Harden's and this association, will further enhance our business
model, and in turn Cube8's portfolio.'
- Ends -
www.cube8.com www.the-sticks.com
For further information please look at the investor relations website at
www.cube8.com or please contact:
Cube8.com plc Tel: 020 7243 2000
Brian Hindson, Chief Executive
E-mail: brian@cube8.com
The Plain English Group Limited Tel: 01462 486810
Tim Parfitt, Chief Executive & Publisher
E-mail: t.parfitt@the-sticks.com
Issued by:
Bankside Consultants Limited Tel: 020 7220 7477
Henry Harrison-Topham / Julian Bosdet
E-mail: henry@bankside.co.uk / julian@bankside.co.uk
Note to editors:
Cube8 is a Technology, Media and Telecoms investment and incubation company
that provides financial and intellectual capital to accelerate start-up and
early-stage internet businesses.
The Company's operations have 3 main areas of focus, these being:
i. Investment
ii. Consultancy and Agency Services
iii. Networking and Fundraising
The Company's shares started trading on the Alternative Investment Market of
the London Stock Exchange ('AIM') on 28th February 2000.
Internet.com Inc. (Nasdaq: INTM), Venture Fund II, holds a 10% stake in PEN
via a convertible preference share investment that was completed in December
1999.
Tim Parfitt, CEO & Founder of The Plain English Group Limited has 18 years of
experience with Conde Nast, publisher of over 55 titles in 13 countries.