Fairfax’s Boat Rocker Media to raise up to $201.25M from TSX IPO

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By CPE News

Boat Rocker Media Inc. has filed an amendment to its preliminary base PREP prospectus for a proposed initial public offering (IPO) and secondary offering of subordinate voting shares.

Boat Rocker Media plans to issue subordinate voting shares priced between $12.00 and $14.00 per share for gross proceeds of $175.00 million or $201.25 million if the over-allotment option is exercised in full.

Assuming the offering price of $13.00 (midpoint of $12-14) and upon completion of the offering and assuming no exercise of the over-allotment option, Boat Rocker Media would have 26,698,960 subordinate voting shares and 23,553,050 multiple voting shares issued and outstanding. If the over-allotment option is exercised in full, Boat Rocker Media would have 28,718,191 subordinate voting shares and 23,553,050 multiple voting shares, effectively valuing the company at approximately $679 million on non-diluted basis.

Boat Rocker Media co-founders, Ivan Schneeberg and David Fortier, and CEO John Young are selling certain number of subordinate voting shares as part of the secondary offering.

Fairfax, Schneeberg, Fortier, and Young would hold 100% of the multiple voting shares.

After giving effect to the pre-closing capital changes, Fairfax will own 13,908,581 multiple voting shares and 8,017,739 subordinate voting shares.

Toronto based Boat Rocker is an independent, integrated global entertainment company. Boat Rocker Studios, the company’s creative engine, creates, produces and distributes award winning content and franchises across all major genres via its Scripted, Unscripted, and Kids & Family divisions. The Studio distributes and licenses thousands of hours of its own and third-party content worldwide. Boat Rocker owns or invests in companies, including Insight Productions (Unscripted), Jam Filled Entertainment (2D and 3D Animation), Industrial Brothers (Kids & Family Animation) and Untitled Entertainment, a leading global talent management company that represents leading on-screen talent and celebrities.

Fairfax Financial Holdings Limited acquired majority stake in Boat Rocker Media in 2015. In March 2019, Evolution Media acquired a stake in Boat Rocker Media.

photo credit: Boat Rocker Media