Hoyts owned Val Morgan Outdoor (VMO) has acquired Active Media Group (AMG), a multi-media business group representing Australian gym chains including Fitness First Australia and Goodlife Health Clubs.
The takeover will see 4000 VMO digital screens rolled out across gyms in Australia, adding to VMO’s goal of delivering 10,000 digital screens within the next few months.
The deal also gives VMO control of an online content portfolio and a high circulating health and fitness magazine.
Hoyts Group CEO Damian Keogh says the acquisition is part of its strategy to boost its cinema and outdoor business.
“VMO has grown tremendously since joining the Hoyts Group. It is now a significant player in outdoor and I am pleased to see it grow and evolve further to include a content publishing platform,” he says.
VMO managing director Anthony Deeble says digital outdoor has become a stable medium for advertisers as the traditional media landscape faces disruption.
“Digital outdoor is becoming a safe haven for advertisers,” he says. “With this acquisition we are not only broadening our assets but uniquely offering advertisers amplification opportunities across a digital outdoor business and custom content division – a convergence of digital outdoor and custom publishing to deepen engagement with our audiences.”
In March Val Morgan Outdoor rebranded to be known only as VMO, signalling the outdoor arm’s own distinct business and in 2015 it acquired marketing specialist P&C Media.
The out of home (OOH) industry has continued to exceed expectations by posting an 18 per cent surge in net revenue to $184.4m for second quarter 2016, compared to the previous year’s $156.2m.
Outdoor Media Association (OMA) CEO Charmaine Moldrich attributes the industry’s growth to its strategy of embracing new technology, with the OOH digital sector surging to 37.3 per cent of total revenue year-to-date compared to 23.1 per cent last year.
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