SVL and Main Event partner to establish production company
…this as companies seek to benefit from activities in lucrative entertainment industryFriday, May 07, 2021
Following the recent purchase of a 10 per cent stake in production and entertainment company Main Event Limited, Supreme Ventures Limited (SVL) said it will be leveraging growth from this transaction through the establishment of a production company.
This as SVL seeks to gain a foothold in the entertainment space and double down on the venture in a half and half partnership with Main Event.
“One of the things that's going to come out of this acquisition of 10 per cent is that SVL and Main Event have an understanding that we will form a production company. It will be owned 50 per cent each between [both companies]. That production company, we believe, is going to take advantage of huge potential in the marketplace,” said executive chairman of SVL Group, Gary Peart, during a Mayberry Investors forum this week.
“When we read this pandemic and study what is happening globally we think that there is a great potential for Jamaica to see the entertainment value,” added Solomon Sharpe, CEO of Main Event, in speaking to the synergistic value to be derived from the recent deal.
Sharpe, who is also the chairman of Supreme Ventures Racing and Entertainment Limited (SVREL), the racing subsidiary of SVL, believes that the affiliation of both companies with the lucrative Caymanas racing business strategically positions both entities to gain significant earnings from the entertainment activities lined up to take place at the almost 200 acres venue in the COVID aftermath.
“When the pandemic is over destination Caymanas Park, destination Jamaica will be ready and the new production company will also be ready — we already have some things in the pipeline. While many other companies use my business to look good, SVL identified a real opportunity to make it bigger and to potentially even look further into the Caribbean,” Sharpe said.
SVL, which posted record revenues of $10.7 billion during the first quarter of this year amid adverse effects from COVID-19, said that it was also bullish on achieving greater growth through its other segments.
The company, which operates businesses in gaming, betting, lotteries, racing and pin codes [phone credit top–up vouchers], said that its recently acquired 51 per cent controlling interest in microfinancing firm McKayla Financial services, through its Supreme Ventures Fintech Limited subsidiary, will has also helped to push the company towards more business as it opens up a pool of funds for on-lending to its large network of retailers and customers.
Peart said that despite heightened competition in the lotteries market, the company was more focused on growing its brand.
Providing update on the company's foray into the South African market with its cash pot product late last year, he said that the company remained hopeful about the prospects despite a slowdown of gaming activities in that country due to adverse effects from the virus.
“We're still excited about South Africa and we believe that as markets reopen there, we will definitely make the gains that we expect from that venture,” Peart said.
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