- IBN Advances in Its International Expansion Strategy by Joining Forces With PRISA to Conquer European and Latin American Retail Media Markets
- PRISA and Talos Partners Agree On Terms of Investment
Talos Partners, a Merchant Bank headquartered in New York City that provides capital to firms that have shown consistent operating profitability with a management team capable of capitalizing on opportunities, announced that it would purchase up to 10 million shares of PRISA's treasury stock, representing a 4.5% stake in the media giant and a warrant for up to 1 million shares at a 6 euro strike price.
Robert Brazell, Talos Partner's Chairman who has been openly critical of traditional media companies in books and articles, said, "PRISA is the first intelligent, diversified, customer centric, device agnostic, media group I have seen in ten years. PRISA has successfully transitioned in the new media model and will continue to dominate the modern Spanish speaking media for the next twenty years."
"This PRISA partnership has moved all over our firm during the past few months," said Brazell. "It began as a strategic partnership, then migrated to our structured lending people, and finally ended up with our capital group. When our team presented the in-store media partnership, we became more interested in PRISA's core business. The more we drilled down past vision into technology and asset integration, the more we wanted to own part of this business."
In addition to Talos Partner's investment in PRISA, Mr. Brazell, who also is the chairman of In-Store Broadcasting Network (IBN), the world's largest Retail Media company, announced that they will form a partnership and 50/50 joint venture with PRISA, the world's leading Spanish and Portuguese media company, to build a Retail Media network throughout Spain and Latin America.
During the past nine years, IBN has built one of the largest media networks in the world as defined by measured reach. The company reaches more than 150 million US adults in 200 markets at the point-of-sale in grocery and chain drug stores throughout the US and Canada. IBN now boasts a network that reaches more people than CBS, Fox, ABC, or NBC prime time.
With the joint venture, IBN advances in its international expansion strategy by joining join forces with PRISA to conquer European and Latin American Retail Media Markets
Jim Hyde, IBN Chief Operating Officer, states, "Our strategy has always been to partner with a like-minded media giant who would provide the programming and sales power to leverage our knowledge, technology and massive reach."
Scott Anderson, IBN EVP Interactive, added, "We have created over $500 Million in measured media inventory with initiatives to reach well over $1 Billion. We reach consumers where purchasing decisions are made -- where it matters most -- and we have done this with fewer than 40 people. With PRISA, we can expand quickly by selling into their network instead of building a network like we did in the U.S. and Canada."
"It's a perfect fit," says Robert Brazell, IBN Chairman. "PRISA provides the critical elements of local programming, as well as national and local sales in twenty-two countries; they have a sales staff of over 1,000 and the ability to provide retailers with local, relevant programming. The partnership provides for immediate implementation, execution, and scale with almost no additional cost to either firm."
Juan Luis Cebrian, PRISA CEO, says, "PRISA is committed to expanding our customer reach beyond the traditional limits. We feel that Retail Media is the perfect fit for PRISA assets, as we can leverage our radio and television production, content, and sales infrastructure into a new distribution channel. We also like the fact that it increases our presence in the U.S. market."
Rob Wolf, IBN EVP Research, a former Nielsen Executive and founder of MediaPlan added, "In-store media and shopper marketing will soon be the foundation of every brand media plan, with other media supporting the final, most important message delivered at the point of sale. The store is the ideal research environment, allowing marketers to measure, evaluate and optimize their advertising effectiveness almost in real time."
IBN has done hundreds of research studies. In-store media can drive both short and long term sales, increase awareness and recall, build brand equity and generate trial and repeat -- all with a measurable and efficient ROI.
Wolf added, "For the first time, in-store media gives advertisers the perfect storm of relevancy, recency and targeting. The media company that controls and integrates both in-store and traditional advertising will stand alone atop the media world."
PRISA will benefit by having a new distribution channel for all of its radio and television content and by increasing its presence in the U.S. in partnership with a company that shares its "Customer Centric" vision.
PRISA, with more than 1,200 radio stations in 10 countries and market leadership in Spain, Colombia and Chile, will provide expertise and experience in radio programming tailored to regional preferences, a broad news gathering organization with seasoned editorial experience in 22 countries, and high quality audiovisual production capacity in Spain, Portugal and the U.S.A.
IBN through its technology and delivery channels will facilitate contact with consumers at the point-of-sale, where many purchasing decisions are made.
About Talos Partners
Talos Partners is a Merchant Bank headquartered in New York City. Talos owns and operates several subsidiary companies including Talos Capital, Talos Pacific Real Estate, and various Talos Special Opportunity Funds. The company has offices in New York City, Chicago, and Los Angeles and investment partners in Latin America and Europe. Talos is currently establishing offices in Hong Kong.
The firm is managed and operated by a renowned, diverse, accomplished group of business and government leaders with proven track records. Talos is often known for unique and creative investing and financial structure and strategic combination of assets or businesses. Talos' investment charter includes small, mid, and large cap companies with capital needs for growth or acquisition.
About PRISA
PRISA is the world's leading Spanish and Portuguese-language business group in the fields of education, information and entertainment. Present in 22 countries, it reaches 43 million users through its global brands El Pais, 40 Principales, Santillana and Alfaguara. Its presence in Brazil and Portugal and among the growing Hispanic community in the US has given the group an Ibero-American dimension and has opened up a potential global market of 700 million people.
About In-Store Broadcast Network (IBN)
IBN is a pioneer and leader in the Retail Media. The company operates an in-store digital network in nearly 15,000 grocery and chain drug stores in 200 markets throughout the US and Canada and reaches more than 150 million people multiple times each month at the point-of-sale. The company has foundation intellectual property rights in the areas of in-store marketing technology, shopper identification in the store, and shelf-based interactive video systems, among others. IBN is also leading the way in the development of interactive touch-sensitive shelf-based media. Their proprietary technology automates store-level programming and allows for multi-channel (audio and video) synchronization and comprehensive remote control, operation, and component health monitoring. The IBN platform integrates multiple consumer 'touch points' within the store to present seamless, relevant, customer-oriented content as an informative, educational, and entertaining enhancement to the customer experience in-store.
CONTACT: MUNCmedia
Press Contact:
Matthew Bird, President
212.699.0999
matt.bird@muncmedia.com