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HARRIS TECHNOLOGY GROUP LIMITED — Capital/Financing Update 2008
Feb 7, 2008
65074_rns_2008-02-07_81540042-9c10-4d6b-b215-195a8ea06910.pdf
Capital/Financing Update
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ASX ANNOUNCEMENT – 7 FEBRUARY 2008
AGREEMENT WITH CHEMIST WAREHOUSE / MY CHEMIST GROUP
Swish Group subsidiary, Swish Digital Spark, is delighted to announce that it has entered into an exclusive 5 year agreement to provide a comprehensive internet protocol (IP) based digital signage network to the rapidly growing Chemist Warehouse and My Chemist pharmacy chains. The agreement applies to all existing Chemist Warehouse and My Chemist pharmacies and all planned future sites. It is expected that this will add an additional 135 sites (with large format LCD audio visual monitors) to the Swish Group digital signage network within the next 6 months. The agreement also provides for two further extensions of the agreement for 5 years each
The new Chemist Warehouse and My Chemist networks will be in addition to the existing Pharmacy TV and Good Health TV digital signage networks already owned and operated by Swish Group which comprises audio visual screens in approximately 2000 pharmacies and medical centres throughout Australia. On completion of the rollout, the Swish Group network will be more than ten times the size of its largest competitor in the medical and pharmaceutical area and include screens in all of the major pharmacy chains including Amcal, Soul Pattinson, Priceline, Chemart, Guardian and Terry White.
Swish Group has and continues to aggressively grow its digital signage business through acquisition and organic growth and this agreement is consistent with the Company’s strategy of aggregating a number of the smaller digital signage networks and companies and making this rapidly growing advertising medium easier to access for advertisers. Aggregation of the various digital signage networks also enables the Company to achieve significant economies of scale in the business and improve operating margins. The Company’s digital signage advertising sales in the 7 months to 1 January 2008 have already grown 525% over the prior full financial year.
Swish Group Managing Director Cary Stynes said “we are delighted by the potential of this new agreement with the very successful Chemist Warehouse/My Chemist group as it further enhances our leading position in the digital signage market in general and the pharmaceutical, medical and health area in particular. The consolidation of the digital signage industry will ensure the short and long term success of the medium and should deliver the Company a substantially increase in revenue and earnings. Digital signage as an advertising medium is growing rapidly as advertisers realise the benefits of the medium and continue to shift their advertising spend from mass media to more relevant and targeted media including the internet and digital signage”
About Swish Group:
The Swish Group Limited (ASX codes: SWG, SWGO) businesses include one of Australia’s largest digital signage networks, Australia’s largest wholesaler of independent digital music, a comprehensive film and television production and distribution business and a telecommunications sales and marketing business. The company is listed on the Australian Securities Exchange with a market capitalisation of $6m.
Websites : www.swishgroup.com.au, www.ampheadmusic.com, www.blackcatfilms.com.au, www.mgdistribution.com.au
Cary Stynes T; +613 9820 1966 M: +61 412 111 821 E: [email protected]
The Swish Group Limited (ACN 085 545 973 Level 1, 102 Toorak Road, South Yarra, VIC 3141