Net Element (OTCQB:NETE), a technology services provider and global Internet publisher of digital destinations, today announced it has acquired the remaining 20% of the outstanding shares in its subsidiary Motorsport.com, Inc. Motorsport.com is a leading digital distribution platform that provides, via its website and social media networks, interactive multi-media coverage and experiences of F1, NASCAR, Le Mans and other hundreds of other race series.
Net Element previously acquired 80% of Motorsport.com’s shares a year ago in February 2011. Three of the four original Motorsport.com shareholders will continue to support Net Element on a consulting basis.
“This transaction is significant not only because the original shareholders accepted stock rather than cash, for the remaining 20% of Motorsport.com, but I believe it also conveys a message of confidence and a continued business partnership among all parties involved,” said Dmitry Kozko, co-founder and executive vice president of business development with NETE.
Eric Gilbert, co-founder of Motorsport.com, added: “Net Element’s leadership during the past year has helped transform Motorsport.com into a technology innovator adept at creating new interactive online experiences while increasing our overall presence, influence and market share in the motorsports industry. We have full confidence that Net Element will continue to grow what we started and our shareholders collectively demonstrate this belief by accepting stock in our parent company instead of a large cash buy out.”During the past year of partnership and business collaboration, Motorsport.com has developed 3-D technologies that will change the way fans follow races in live online environments while interacting with other motorsports enthusiasts, and advertisers will have a new platform to target audiences. The digital destination has created new verticals that cater to specific racing niches, signed Hall of Fame racing legend Emerson Fittipaldi as its chairman, and worked with Ferrari North America to use Motorsport.com to help reach Ferrari fans. Additional gains and growth of Motorsport.com during the past year include:
- Launching a series of social media contests with Fittipaldi, including “Are You the #1 Emmo Fan?”
- Sponsoring the Ferrari Challenge
- Developing one of the largest professional online library of motorsports photos, which is comprised of more than 1.5 million images and a video archive that exceeds one thousand viewable hours
- By special invite from YouTube, Motorsport.com created and produced three seasons of the exclusive YouTube show, ‘ The Golden Age of Motorsport’
- Signing distribution deals with Fast Lane Daily and other popular video content owners, as well as syndication to TiVO and other IPTV destinations
- Releasing a motorsports-only UGC platform for fans to upload and share content