By Polly Fergusson Picardy Media, a company that provides digital media services such as internet...
By Polly Fergusson
Picardy Media, a company that provides digital media services such as internet training and health and safety DVDs, is looking to raise £7m from institutional investors and list on the Aim market, valuing the company at £25m.
Scottish-based Picardy, which already has around 60 customers including BT, PowerGen, the BBC and Standard Life, will be using the money it raises to acquire companies outside Scotland and increase its geographic spread.
The company is about to announce one acquisition and is in discussions to buy several more. Iain Hogg, managing director, confirmed the company has just signed heads of agreement to acquire Alphabet Communica-tions, a Manchester-based digital media company.
"Companies are spending more on internal communication. The fastest-growing area of the business is definitely the integrated media services division, where we provide e-communications solutions to businesses through DVDs, CD-Roms and the internet," added Hogg, who expects the business to return to profit in 2002.
A change of direction caused Picardy to post a loss last year for the first time in seven years after making pre-tax profits of £119,400 the year before.
Group turnover in 2000 was £4m compared with £4.1m the year before.
During 2000, Picardy spent £750,000 moving the business away from traditional TV-based work to providing television over the internet.
Picardy's four main revenue streams are from broadcast and internet telecommunications; i-media which includes web design DVD creation; and new media post production work; and a sound recording studio which creates sound for television programmes such as Changing Rooms.
The business internet professional services (IPS) market is set to jump in value from around £5.3m in 1998 to £53m in 2003. Picardy is looking to expand into markets in such areas as training, health and safety, financial services, and web development.