By Brendan Swift
Talent and production house RGM Group’s proposed backdoor listing on the Australian Securities Exchange was approved today.
The complex deal will result in the publicly listed Biosignal renamed RGM Media after almost three-quarters of the biotech's shares were cast in favour of the transaction at an extraordinary general meeting in Melbourne.
The all-scrip deal valued RGM Group at between $2.57 million and $2.89 million. RGM’s parent, RGM Entertainment, will maintain a 20 per cent stake in the business and appoint two board members.
The deal did not place a value on RGM’s production business which includes film options over proposed features Point Break 2, action movie Bullet Run, and an untitled Lasse Hallstrom picture.
Those three pictures are expected be produced this year and the commencement of principal photography will trigger a $US1 million “service fee” for RGM, according to the independent expert’s report into the deal.
Point Break 2, the sequel to 1991 surf movie Point Break, is budgeted at $US25 million and will be directed by Jeff Wadlow. RGM has spent $US3.8 million on the project to date.
Bullet Run has an indicative budget of $US30 million and will be directed by Xavier Gens (Hitman) and has Eric Bana attached.
The group is also working on a thriller Blue Heaven, expected to enter pre-production this year, and a further 15 projects.
RGM was founded by managing director Robyn Gardiner and its talent management business posted a net profit before tax of $623,000 in 2008-09.
The company represents over 300 clients including actors Cate Blanchett, Rose Byrne and Anthony LaPaglia.