DEAG acquires a 75.1% stake in Wizard Promotions

Ad hoc disclosure in accordance with §15 WpHG (Securities Trading Act)

• Boosting of tours by international superstars
• Consistent strengthening of the content base and stepping-up of added value
• Founder and Managing Directors of Wizard Promotions with a continuing long-term commitment to the company
• Financing by combined increase in cash and capital in kind
• Positive impact on sales revenues and earnings per share of DEAG

Berlin, June 18, 2013 - DEAG Deutsche Entertainment AG (ISIN DE000A0Z23G6) takes over 75.1% of the shares in Wizard Promotions Konzertagentur GmbH, Frankfurt am Main. This means that one of the most significant international tour promoters in Germany will in future be part of the DEAG Group. During the past year Wizard Promotions was awarded, amongst other things, with the Live Entertainment Award (LEA) for the tour with Lady Gaga; and has a bulging concert pipeline for the current year with global megastars such as Neil Young, KISS, Iron Maiden, Zucchero and Foreigner. The portfolio of artists also includes Ozzy Osbourne, 3 Doors Down, Tiemo Hauer and Jamie Cullum.

Through this acquisition DEAG secures permanent access to additional, high value content in the concert area and continues to strengthen its value chain. In future, the regional promoters of DEAG, Global Concerts, River Concerts, Manfred Hertlein, handwerker promotion and concert concept, will organize the concerts of Wizard Promotions as preferred partners in their regions. Furthermore, Wizard Promotions will be included directly into the distribution co-operation with Ticketmaster Germany. Additional potentials will be tapped through the integration of Wizard Promotions which works already on a profitable basis with a double-digit million Euro sales revenue number on a stand-alone basis.

The takeover is based on the acquisition of shares in Wizard Promotions from DAP Management GmbH, European Concert Agency AG and Ossy Hoppe. The purchase is financed by the partial utilization of the authorized capital of DEAG by way of a combined increase in cash and capital in kind by 10% of the share capital, to the exclusion of the subscription right of existing shareholders. This leads to 1,238,898 new shares at EUR 3.25 which have been fully placed with existing shareholders. The share capital of the company increases to EUR 13,627,881. As a result, DAP Management of Günter Reimann-Dubbers will have a stake of little more than 3% in DEAG. The European Concert Agency becomes a DEAG shareholder, too. Lockup periods have been agreed with the sellers concerning the newly acquired shares in DEAG. The cash inflow above the purchase price will strengthen the capital base and free liquidity. The Executive Board assumes that the earnings per share of DEAG will be directly impacted in a positive way as a result of the acquisition.

The founder and Managing Director of Wizard Promotions, Ossy Hoppe and Co-Managing Director Oliver Hoppe keep their shares in the company and will make a major contribution towards the stepping-up of the development of Wizard Promotions based on long-term contracts as managing directors and exclusive advisors, respectively.

DEAG Deutsche Entertainment AG
The Executive Board

DEAG Deutsche Entertainment AG is a leading provider of live entertainment and the largest organizer of high-margin classical events in Europe. Founded in 1978 and stock-listed since 1998, the company draws on 30+ years of experience.

With group companies in Germany, the UK and Switzerland, DEAG stages 1,500+ events and sells 3.5 m tickets per year in the fields of family entertainment, rock/pop, classical and German music. The company also operates venues in Frankfurt/M, Stuttgart and Zurich.



In the concert business, DEAG acts as both tour organizer and local promoter, ensuring additional risk diversification through its broad positioning. During recent years, DEAG continuously enhanced its value chain by implementing a comprehensive “360-Degree Approach.” With its own music label DEAG Music and a wide range of activities in publishing rights, live recording, sponsoring, merchandise, ticketing etc and powerful partners such as Sony Music Entertainment, Ticketmaster, Ringier AG et al, DEAG is perfectly positioned as an integrated and highly synergistic international Entertainment Content Company.

For further information please contact:
Axel Muehlhaus
edicto GmbH
Eschersheimer Landstraße 42
60322 Frankfurt am Main
Tel: +49-69-90 550 552
Email: deag@edicto.de

This release was published on openPR.