Einstein
Reveals Game Plan
Einstein Group plc, the international multi media group is now expanding into
the chess world, having today, 24 January 2002, purchased Intellectual Leisure
Ltd, which owns some of the assets previously held by BGN plc.
The deal gives Einstein Group a five-year contract with World Chess Champion,
Vladimir Kramnik; all contracts/arrangements relating to the proposed 'Brains
in Bahrain' (Man v Machine) match; all contracts relating to the Dortmund qualifying
rounds of the Chess World Championships and all contracts/arrangements relating
to the proposed Chess World Championship in 2003. Intellectual Leisure Ltd will
now be a subsidiary of Einstein Group plc.
Steve Timmins, CEO, Einstein Group, says: "There are two major areas of
synergy between Einstein Group's digital science and technology TV channel,
einstein.tv and Intellectual Leisure Ltd, which are of enormous benefit to both.
einstein.tv provides a television platform for World Championship chess matches,
enhancing the potential for sponsorship funding. Intellectual Leisure Ltd provides
Einstein with intellectual property, sports rights, high profile content and
an intellectual gaming feature, Indeed them is an almost exact demographic,
intellectual and editorial fit between einstein.tv and the world of chess, offering
a very attractive proposition to sponsors and advertisers. In addition, news
of this relationship has met with much enthusiasm in countries around the world
who are already in negotiations to take einstein.tv's science and technology
programming." Timmins adds, We are already working hard on providing chess
programming and competitions for both our tv channel and website, over and above
live coverage of the world championships."
Vladimir Kramnik, World Chess Champion, says of the deal: “ We have never
seen such a combination between World Chess and a multi media company. This
could lift chess into another dimension. As the World Champion I am sure that
Einstein Group was very clever in making this move. The company discovered a
real niche in the market and hopefully this deal will bring the wonderful and
intellectual game of chess to everyone, in particular, kids."
For further information please contact: Einstein Group Press Office Zena Howard:
07989-441293/ 0207 074 3900 zena_howard@einstein.tv
Einstein Group plc will be holding a press conference in early March (date
to be confirmed), in London, to outline its strategy. For further information,
contact Zena Howard on the e-mail below.
Einstein Group plc, founded in 1999, is an international multi-media group.
It floated on the Alternative Investment Market (AIM) of the London Stock Exchange
in March 2000. It includes Einstein Consulting which offers external clients
a wide range of strategic and 'hands on' consultancy services in the areas of
channel management, production technology, marketing & PR, and new media
business development Einstein Entertainment Ltd, the programme division of Einstein
Group plc, produces output for the UK and overseas.
By early 2002, Einstein.tv, (the digital science and technology tv channel
owned by Einstein Group) is expected to have rolled out across 15 European territories
in three languages, including the Benelux countries, Scandinavia and Central
& Eastern Europe. einstein.tv Is on Sky Digital, channel 576 in the UK and
is available across both Germany and Switzerland. The web site is at www.einstein.tv
On a global scale, discussions are underway for a roll out into North and South
America, Asia Pacific, the Middle East and Africa. einstein.tv's corporate identity
has won several design awards and the brand was chosen to represent the best
of British design and innovation at the Great Expectations Exhibition in New
York organised by The Design Council.
World Chess Championships: The next World Chess Championship will be held in
2003. The venue has yet to be confirmed. Eight of the world's best players have
been invited to participate in the Candidates' Tournament in Dortmund (Germany),
in July 2002. The winner of this tournament will be the Challenger in the World
Chess Championship final in 2003, playing Vladimir Kramnik. Some $500,000 of
sponsorship has already been secured for this event.
Man vs Machine Competition: For the first time since Garry Kasparov spectacularly
lost to IBM's Deep Blue in 1997 the World Champion Vladimir Kramnik will play
the world's best chess program Deep Fritz, for a $1m prize fund. The "Brains
in Bahrain" tournament will take place in October 2002, in the Meridien
Hotel, Bahrain, under the patronage of the Emir of Bahrain and Bahrain Government
Youth and Sports Organisation.
For further Information please contact:
Einstein Group Press Office, Zena Howard: zena_howard@einstein.tv, Tel: 07989
441293/ 020 7074 3900
This information was released this afternoon to journalists at the Corus Tournament
in Wijk aa Zee by Dortmund organiser Carsten Hänsel.
Acquisition
25/01/2002 17:25:36
RNS Number:5519Q Einstein Group PLC25 January 2002
Einstein Group PLC ("Einstein")
Following previous announcements concerning the acquisition of assets from
BrainGames Network Ltd ("BGN"), Einstein today announces that it has
entered into a conditional contract to acquire Intellectual Leisure Ltd ("IL"),
a subsidiary company of BGN that holds certain assets.
The assets being purchased by Einstein include BGN's contracts with the Brain
Games world chess champion, Vladimir Kramnik, a 10% shareholding in Brain Games
Asia ("BGA") together with the right to receive a one-off $500,000
license fee and an annual $250,000 management payment from BGA. Vladimir Kramnik
will be participating in a Man v Machine Tournament later this year in Bahrain
which has attracted funding and sponsorship of $2m and the next Brain Games
world championship is expected to take place in early 2003.
The consideration for the purchase of the shares in IL is the issue and allotment
to BGN of an initial 5,964,285 Einstein shares (equivalent to £164,000
at 2.75 pence per share), together with unsecured interest free convertible
loanstock of Einstein with a nominal value of £1,060,000, convertible
at 3.5p pershare into a further 30,285,715 Einstein shares. IL owes BGN the
sum of £800,000, and it is intended that £350,000 of this debt will
be satisfied by the placing of a further 10,000,000 Einstein at 3.5p per share.
The balance of this debt will be satisfied within six months of completion either
in cash or, at Einstein's election, by the issue of further Einstein shares
at 3p per share.
Intellectual Leisure has recently been established and therefore has net assets
of £2.20 million of the consideration shares will be retained by Einstein
at completion to be paid on receipt by Einstein of Mr Kramnik's novated 5 year
contract.
Einstein provides a television platform for World Championship chess matches,
thus generating a substantial potential increase for sponsorship funding and
the ability to attract subscribers to TV and internet chess tournaments. IL
provides Einstein with Intellectual Property in sports rights, future profits,
high profile content and "intellectual" gaming content that can exploit
spread betting and other gambling activities in a multi media environment.
This information is provided by RNS.