The Directors of Chapmans Limited (ASX:CHP) (Chapmans, the Company) are pleased to announce the formal launch of mobile digital media business 20FOUR Media Holdings Pty Ltd (20FOUR).

Chapmans has a strategic 39% direct equity interest in 20FOUR. It is a sports-focused digital media business whose business model is based on providing fans with a new level of interactive, tailored and personalised access to their favourite sports stars via an App-based platform or online.

20FOUR seeks to provide an extension to standard media and social media via the utilisation of smart peer-to-peer (P2P) technology to create a real and unique connection between sports fans and leading athletes across all sports.

The 20FOUR business model is highly scalable and is designed to capitalise on the global market opportunity in sports media content generated by a burgeoning mobile sports fan audience market.

20FOUR formally launched last week and the App is now 'live' and available on the Apple and Google Play stores. It has also completed the signing of its first tranche of sporting talent, with 60 of Australia's leading elite athletes now on the books of 20FOUR.

These are headlined by NRL superstar Billy Slater, AFL champion Joel Selwood, Australian cricketer Pat Cummins, as well as leading athletes from other sports, such as netball world champion Shari Layton, freestyle motocross rider Robbie Maddison, world and olympic champion snowboarder Alex 'Chumpy' Pullin and professional surfer Laura Enever. Details of all current 20FOUR athletes are available on its website and App.

The launch represents a key milestone in 20FOUR's growth and development pathway, and is the culmination of a sophisticated two year research, development and testing program which has seen approximately $3 million invested in the business to date.

Chapmans has played a pivotal role in the development of 20FOUR and is delighted with the progress achieved to date. 20FOUR is well ahead of its talent recruitment targets, and it is on schedule to expand its signed talent portfolio to at least 100 athletes by the end of the year, across a diverse range of sports. 20FOUR's 60 signed athletes already provide a total audience reach of around 12 million individuals - three times more than the current target.

Next Steps

With the business now launched, 20FOUR will continue to focus on athlete recruitment plus platform development. It will also undertake a large scale commercial roll-out with major media agencies and brands to allocate marketing and advertising spend, and the business is well advanced in negotiations on this front.

Chapmans' investment in 20FOUR is consistent with its active, high-conviction investment model in the mobile technology sector, and represents a priority investment for Chapmans. Chapmans plans to conduct another round of growth capital funding for 20FOUR to raise an additional amount of up to $3 million, ahead of a proposed ASX listing this year.

Background to 20FOUR Business Model

20FOUR is a ground-breaking new content business delivered through it's smartphone App and website designed to change the way sports fans connect with their sporting heroes. It allows fans to keep up with their favourite sport stars and access exclusive content free of charge, including personal stories and insights, master classes and one-on-one interaction.

It has identified an untapped market opportunity in which the major shift in consumer engagement toward short form social content is uncoordinated and poorly commercialised.

Athletes will create and share original short-form content directly via the app, and in addition 20FOUR also has a state-of-the-art in-house production team that will produce exclusive content for the platform.

The business caters to the rapidly evolving market in which the personal profiles of athletes have significant commercial value, and delivers this asset to market in a way that encourages big brands and media agencies to engage. The model also directly solves issues for players around monetising their values outside of salary cap restrictions and potentially hazardous social media platforms.

20FOUR is driven by a high calibre management team led by former Fox Sports Head of Strategy Chris Haigh as CEO.

Commenting on the launch Chapmans Chief Investment Officer Anthony Dunlop said:

"We are delighted to see the successful launch of 20FOUR. The business is one that Chapmans identified at an early stage and we have overseen the development and refinement of what we believe is a ground breaking digital media opportunity with significant international market opportunities. 20FOUR represents a thoroughly researched and executed commercialisation model completely in-line with Chapmans active, high growth investment approach. Chapmans looks forward to working closely with 20FOUR to see it achieve its next corporate and operational goals, which include a planned ASX listing this year."

To view the full release, please visit:
http://abnnewswire.net/lnk/4F958YHQ


About Chapmans Limited

Chapmans Limited (ASX:CHP) is an ASX-listed diversified investment company engaged in special situation investments across a diverse range of industries, with a focus and expertise in the mobile and advanced industrial technology sectors. The Company seeks to be an active strategic investor in high growth areas of the market and to identify and work with emerging high growth companies. Chapmans' investment philosophy and approach are based on a unique mix of high conviction and special situation features, characterised by advisory and equity investments structured around specific events and assets for both public and large private corporates.

The Company made its first strategic investment into blockchain in 2017 and established the Blockchain Industry Advisory Board to identify and assess compelling blockchain investment opportunities. Chapmans' investment in blockchain technology aligns with its growth plans and commitment to investing in early stage technologies with reach into key international markets.

To learn more please visit: http://www.chapmansltd.com

 

Contact

Peter Dykes
Executive Chairman
Chapmans Limited
E: peter.dykes@chapmansltd.com
T: +61-2-9300-3605

Anthony Dunlop
Executive Director
Chapmans Limited
E: anthony.dunlop@chapmansltd.com
T: +61-2-9300-3605



Link: CHP announces launch of 20FOUR Digital Media Business


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