BERLIN (CelebrityAccess) — German live entertainment company Deutsche Entertainment Aktiengesellschaft (DEAG) is backing away from its previously announced plans to re-list on the Frankfurt Stock Exchange.
According to DEAG, the company decided to push pause on the relist plans after “numerous conversations” with investors that resulted in overwhelming positive feedback – on the growth of the company and on new entertainment formats.
Additionally, DEAG noted that it is in “advanced conversations” with several potential acquisition targets that align with its growth strategy, particularly in the ticketing industry.
DEAG also alluded to the current market conditions in Germany, which is facing challenges amid a decline in GDP of .3% in 2023.
“For this reason, the Management Board has decided to continue conversations with investors at a later date, aiming to reconsider an IPO later in the year, after finalizing the acquisitions and when the macroeconomic and geopolitical conditions, especially in DEAG’s core markets, the UK and Germany, have improved.
DEAG first announced plans to re-list on the exchange in late November 2023, with an anticipated capital increase of approximately EUR 40-50 million together with an additional offering of existing shares from the holdings of current shareholders.
“We believe that there is an enormous growth potential in our business. From driving ticket sales toward our own ticketing platforms to acquiring companies which increase synergies within our group and strengthen our strategy of expanded growth in both our Live Entertainment and Ticketing and Services businesses, the road ahead of us is paved with opportunity. The foundation of our business stands on our strong historical growth as shown by the ever increasing number of events we offer since 2019 – recurring revenues from over 30 festivals, intellectual property created from children´s musicals to lightrails and our hallmark New Years` Eve event at the Brandenburger Gate. We continue to expand our existing, and capitalize on new, business opportunities and develop strategies to complement this business growth in our existing and new markets. As we have shown in the past, we will look to the future with full confidence at the prospects for our business.” DEAG co-CEO Detlef Kornett said when announcing the relist plans.
