TORONTO – Moses Znaimer’s ZoomerMedia is buying VisionTV’s broadcasting assets in a deal worth $25 million.
VisionTV (VTV) operates the multi-faith and multicultural channel by the same name that is available in nine million homes in Canada on basic cable, in addition to diginet One: the Body, Mind & Spirit channel, and the conventional TV stations Joytv 10 in Vancouver and Joytv 11 in Winnipeg.
ZoomerMedia Limited (ZML) is a publicly traded company that caters to the interests of Canadians aged 45-plus through its radio, broadband and magazine properties, including CARP, Canada’s largest association for retirees.
“The VisionTV group of channels deliver unique and original programming to the millions of Canadians interested in spirituality, wellness and personal growth,” said VTV board chair Dale Godsoe, in the announcement. “Joining the ZoomerMedia family will ensure that they are able to continue fulfilling this unique mission. It will create new benefits and synergies, and will position the channels to prevail in the face of technological and regulatory change.”
VTV, which is a registered charity, will remain under the control of the board of directors of parent company S-VOX, the announcement read. The charity has a mandate to produce and distribute, in all formats, content designed “to reflect and to respect Canada’s faith communities and the religious, ethical and moral concerns of those communities.”
And the charity is the true “beneficiary” of the deal, S-VOX president and CEO Bill Roberts told Cartt.ca in a telephone interview.
Admitting that he often faced investment “challenges” due to Canada’s rules and regulations governing charities, Roberts said that the $25 million purchase price will go directly to the VTV charity so that it may continue its work.
“We wanted to endow the charity to reinvent itself,” Roberts said, referring to the deal more as a “merger of assets” than an acquisition.
In a note to employees on Monday, Roberts said ZML has agreed to retain all employees “on terms that will be no less favourable than their existing terms of employment”. ZoomerMedia has also agreed to be bound by the existing collective agreement between S-VOX and the Canadian Media Guild as a "successor employer."
Calling the agreement “a perfect partnership”, Roberts said that the deal makes sense largely because the S-VOX and ZoomerMedia demographic is similar, and their respective audiences share many characteristics.
“Viewers over the age of 50 represent VisionTV’s core audience, making it a natural complement to ZoomerMedia’s existing media properties and opening up new opportunities for cross-platform promotion”, Roberts said in the announcement. “In addition, ZML and VisionTV share a strong commitment to diversity and high-quality Canadian content.”
ZML’s website says its target market is the 14.5 million Canadians aged 45 and over, who they refer to as ‘Zoomers’ – or “baby boomers with zip”.
"They are the single most influential consumer group in the history of the world. They have more money and time than any other demographic by far,” reads a quote by founder Moses Znaimer. “They don’t follow the crowd. They are the crowd. They’ve led, then transformed, then dominated every market they’ve entered. And they change loyalties with ruthless efficiency."
Roberts draws comparisons between himself broadcast pioneer Znaimer, now ZoomerMedia’s president and CEO. Detailing their shared belief in the 45 plus demographic, Canada’s diversity of cultures, and their mutual commitment to Canadian content, Roberts said emphatically that the duo “will turn heads in this country”.
“This is a value transaction – two highly valued, hugely successful companies that are putting that energy together”, he told Cartt.ca.
According to the staff memo, the Vision TV board received the proposal from ZoomerMedia last October. In addition to the S-VOX broadcast properties, ZML has also recently added other assets to its portfolio, including three Toronto radio stations, the MZTV production and distribution company, and ideaCity, an annual conference of Canadian and international thought leaders.
With the deal still subject to CRTC approval, Roberts, who along with Znaimer will spearhead the ownership transfer, predicts that it could take close to a year before the details are finalized.
“This is truly a good news story, and the Canadian broadcasting industry needs a good news story,” Roberts added. “This is a story of conviction, strength and well-deserved optimism.”
www.s-vox.com
www.zoomermedia.ca
