2waytraffic Reaches Millionaire Deal

HILVERSUM, December 1: 2waytraffic has agreed to acquire the Who Wants To Be
A Millionaire? property, along with
Celador International’s remaining format library, for £106 million.

The deal will see the Dutch
company acquiring the entire issued share capital of Complete Communications
Corporation Limited (CCCL), Knight Whitehill Productions Limited and The River
Studio Limited. The acquisition is being financed by a £60 million term loan
facility from Royal Bank of Scotland, £10 million of the company’s existing
cash resources, £6 million of consideration shares and a £38 million share
placement fully underwritten by Investec.

The acquisition gives
2waytraffic the rights to the worldwide game show hit, as well as about 30
formats in the Celador catalogue, including You Are What You Eat and Brainiest.

Chris Pye, the chairman of
2waytraffic, commented, “This is a transformational deal that will see us
acquire Who Wants To Be a Millionaire?,
one of the most popular and sustainable prime-time game shows in history, as
well as a number of other well known formats. 2waytraffic has grown
significantly since it was formed just three years ago and this acquisition
will see further expansion of 2waytraffic’s format library and geographical
reach.”

Kees Abrahams, the company’s
chief executive, added, “The acquisition is a major step forward for
2waytraffic. As part of the enlarged group we are confident that Who Wants
To Be a Millionaire? and the other
successful formats we are acquiring will benefit from our interactive expertise
at a time when technology is allowing producers to develop formats with
increased interactivity in TV, mobile and digital. The proposed acquisition is
entirely consistent with the strategy we set out at the time of our IPO. We are
in no doubt that these formats are a perfect fit for 2waytraffic and we are
well placed to become a major international player in the roll out of
interactive content.”

Celador founder Paul Smith
added, “When we were seeking a buyer for Who
Wants To Be A Millionaire? and Celador
International, our considerations were not purely financial. Millionaire is very much our baby, so it was a matter of who would best
look after it, share our philosophy and believe in it as passionately as we do.
I am confident that company is 2waytraffic. They are a vibrant and ambitious
organization with a vision for the show that incorporates the growing demand
for interactive content.”

Celador put Millionaire? on the auction
block in March. 2way traffic entered into exclusive negotiations with the
company at the end of July, just two weeks after acquiring the Dutch format
outfit Intellygents.

Under the terms of the deal, CCCL Chairman, Paul Smith,
will assume the role of executive producer of the UK version of Who Wants To
Be A Millionaire? and consultant to
2waytraffic.
Prior to the completion of the transaction for Who Wants To Be A
Millionaire? and Celador International,
Paul Smith and his wife, Sarah King will acquire a majority interest in Celador
Films, Cat and Mouse, and a number of other companies currently owned by
CCCL . In the same period, ownership of Celador
Productions will transfer to the company’s management in a buyout led by
Managing Director, Danielle Lux.