BEYOND AIMS TO RAISE A$22M FOR PRODUCTION

Beyond International is hoping to offset the cost of 36 hours of drama series and a handful of docs already in production by raising A$22m (US$15m) from the private sector before the tax year ends on June 30.

This is the first time the Sydney-based company has embarked on such a scheme.

The A$22m aimed for under the Beyond Group Television Investment Fund is the total cost of production, and investors must have at least A$500k (US$333k) to participate. The effect of setting that minimum is that the fund managers, Zero Bond Financial Services, won't have to publish a prospectus.

The Australian Tax Office issued a ruling earlier this month reassuring investors they would get tax benefits under the proposed scheme. This will encourage tax advisers and individuals to seriously consider the offer.

Beyond chief Mikael Borglund said they have been examining how to structure such a scheme for several years. Focusing on the big end of the financial market makes the administrative and reporting requirements more manageable.

Investors will receive, on a cumulative basis but by June 30, 2010, an amount equal to the level of presales obtained, or 70% of the cost of acquiring the copyright interests in the projects, whichever is the greater.

Whether the scheme is successful or not won't impact on the productions but it will have a significant effect on Beyond's financial results for the current financial year.

Also out in the market is the Macquarie Nine Film & Television Fund, a joint-venture between an investment bank and Australia's highest rating network. The money is being raised for five features, a series and a telemovie worth A$51.4m (US$34m) and the minimum investment is A$5,000 (US$3,300).
Sandy George
12 Jun 2003
© C21 Media 2003



published: Friday, June 13, 2003