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Beyond makes $4.3 million acquisition

[press release from Beyond International]

Beyond International Limited (ASX:BYI) has acquired the business and assets of Magna Pacific Pty Limited (Magna) from the receivers of destra Corporation Limited, KordaMentha Pty Ltd.

With this acquisition Beyond is significantly expanding its existing Australian/New Zealand home entertainment business and the consolidation will enable the operation to attain a scale that will lead to cost rationalisation across this business
segment.

The acquisition will cost a maximum of $4.3 million in cash (subject to adjustments over the six months following settlement) and is funded from Beyond’s existing cash reserves and surplus cash from operations. No bank borrowings will be required to support the acquisition.

The new business will be earnings per share accretive immediately in the 2009 financial year. The Directors will announce the consolidated financial results for the six months to 31/12/08 at the end of February 2009 and expect to be able to provide guidance on the results for the full year to 30 June 2009 at that time.

The Magna operation is well established with major national retail accounts – the existing key management team of Magna led by Phil Maddison will remain. Magna Pacific holds the DVD rights the extensive television programming catalogue of the Discovery Channel that features such program franchises as American Chopper, Miami Ink, Deadliest Catch and American Hot Rod.

Magna also specialises in children’s programming, with iconic brands such as Bratz, Pokemon, Roary The Racing Car, Care Bears and Teenage Mutant Ninja Turtles. Magna’s extensive catalogue of feature films and television series also includes the Crocodile Hunter, Wire In The Blood, The Civil War, 3rd Rock From The Sun and A Country Practice.