SINGAPORE - In a deal which could potentially give it a direct exposure to the vast China market, Singapore-listed mm2 Asia has signed an exchangeable bond deal with one of Hong Kong’s largest integrated concert organisers, Unipact Entertainment and Productions (Unipact HK).
In an announcement on Wednesday night, mm2 Asia said that its concert arm mmLive has signed a subscription agreement with Unipact HK for exchangeable bonds valued at HK$19 million ($3.3 million). The bonds issued by Unipact may be exchanged by mmLive for 5 per cent of the total number of shares in Unipact.
mm2 Asia said the deal would make mmLive a shareholder in Unipact over time, giving both parties access to a comprehensive artiste line-up and market coverage spanning Singapore, Malaysia, Hong Kong, Taipei, China and the rest of South-east Asia.
The big diamond in the deal is the vibrant Northeast Asia market, and the China market in particular.
Unipact is one of the largest technical and creative solutions providers in the live entertainment market and one of the top concert organisers in Hong Kong.
Singapore-based mm2 Asia is one of the biggest concert organisers in South-east Asia. It wholly owns leading concerts and events organiser UnUsual. Catalyst-listed Unusual has emerged as a major player in the concert scene in Singapore and Malaysia over the past year, bringing in top billed stars such as Jackie Cheung, Aaron Kwok, Westlife and JJ Lin.
In a statement, Melvin Ang, mm2 Asia’s executive chairman, noted that this deal comes amid a huge surge in demand for entertainment and live events in Asia after economies reopened following the Covid-19 pandemic.
“Working together with the Unipact group and our existing network and resources, we would be participating in another Asian concert powerhouse team, to create multi-leg, multi-territory show opportunities,” he pointed out. “This in turn will grow our market presence, and create greater value for our shareholders.”
Dominic Choi, managing director of Unipact, said the tie up would enable both companies to leverage on their individual strengths and capture a larger Asia-Pacific market.
“We are excited for the opportunity to work with mm2 in their businesses across the whole entertainment industry – from movies and dramas, visual effects, cinemas and concerts; and we look forward to leveraging the synergies between the different media businesses and our vast China business network,” he said.
mm2 Asia shares closed at 4 cents on Wednesday prior to the announcement.
