Tiger Media, Inc. (“Tiger Media”) (NYSE MKT: IDI) (NYSE MKT: IDI.WS), formerly known as SearchMedia Holdings Limited, one of China's leading multi-platform media companies, today reported preliminary unaudited financial results for the full year 2012 and quarter ending December 31, 2012.
Peter W. H. Tan, Chief Executive Officer of Tiger Media, remarked, "We have been able to realize significant progress in the evolution of our business during 2012, transitioning from our legacy operations to strategic transactions with high profile partners. These concessions possess higher margins, longer terms and greater strategic value. In addition, we have several new strategic concessions and transactions in progress that will create additional long-term revenue opportunities, strengthen and diversify our offerings in China's media sector, deepen our national presence and further enhance shareholder value. We intend to keep our investors up to date and make additional announcements as these endeavors evolve."
Transaction and Business Development Efforts
In 2012, Tiger Media completed numerous important corporate transactions including the following:- The establishment of a new Luxury LCD Mall Joint Venture to build a new network of large format LCD screens at prominent entry points of high end shopping centers located at major central business district locations in Shanghai. - Reached an agreement with Home Inns & Hotel Management Inc. to create a nationwide advertising network at Home Inns' hotels throughout China. - Completed a settlement with predecessor shareholders in which 4.5 million shares and 1.6 million warrants were cancelled. - Obtained direct equity control of its operations by terminating its Variable Interest Equity structure. - Divested its SearchMedia International Limited (SMIL) subsidiary to Partner Venture Holdings Limited and eliminated outstanding payables, earnout liabilities and tax provisions in the aggregate amount of $38.3 million. - Completed a new private placement of 7.0 million shares raising $7.0 million from investors including Frost Gamma Investment Trust, an entity affiliated with Dr. Phillip Frost, our largest shareholder, TGC Partners Limited, an entity affiliated with our Chief Executive Officer, Mr. Peter W. H. Tan, TGC Media Investments II Corp., Nan Fung Group, one of our largest investors and Titan Multi-Asset Fund SPC, a fund controlled by Yuanta Asset Management. Proceeds from the private placement further increased shareholder equity and enabled the aforementioned concessions.