Listed media firm VGI Global Media Plc has joined with three Malaysian out-of-home advertising firms in a joint venture to win a 10-year contract to manage advertising platforms at a new MRT in Malaysia.
The new joint venture, Titanium Compass Sdn Bhd (TCSB), will cover advertising at 31 stations and 58 trains on the new 51-kilometre SBK line, which will begin first-phase operation by the year-end and become fully operational in mid-2017.
TCSB is 19% owned by VGI, with Puncak Berlian Sdn Bhd, Utusan Airtime Sdn Bhd and Ikatan Asli Sdn Bhd holding 51%, 20% and 10% equity stakes, respectively, in the company.
Puncak Berlian Sdn Bhd, a subsidiary fully owned by Redberry - Malaysia’s second largest OOH media agency, has the country’s most diverse range of advertising platforms - including airports, mass transits, office towers and cinemas. Utusan Airtime Sdn Bhd is a leading media publishing house and Ikatan Asli Sdn Bhd is operating more than 2,400 advertising billboards and screens throughout Malaysia.
“The award of the contract for SBK (MRT1) line to TCSB marks a major milestone for our mission to increase our presence in the ASEAN economic community as a way to enhance our growth rates,” said Surachet Bumrongsuk, VGI’s chief executive officer.