SET-listed JKN Global Group, a media and content conglomerate, says the firm's takeover of the Miss Universe beauty pageant brand can potentially expand its content and commerce businesses.
The company expects the earnings from the Miss Universe brand could cover the acquisition cost within 2-3 years while revenue from the beauty contest in January is expected to surge 25% from the pre-pandemic level.
Jakkaphong Jakrajutatip, chief executive of JKN Global Media, said Miss Universe will maintain the competition in line with international standards while urging the Thai government to host the contest to drive the country's tourism revenue and build its soft power.
JKN reached a deal to acquire Miss Universe Organization (MUO), which runs the annual international beauty pageant, from IMG Worldwide LLC, which is wholly owned by US-based Endeavor Group Holdings. The investment amounts to US$20 million.
"We acquired MUO which is a strong heritage global brand with over 71 years of history and more than 1 billion viewers across the world," said Ms Jakkaphong.
It also marks the first time that MUO will be owned by a non-American and a woman. "This will truly reinforce the power of women in this universe," she said.
The contest platform is still led by MUO chief executive Amy Emmerich and president Paula Shugart and the MUO will open for new business proposals from others, Ms Jakkaphong said.
There are some businesses offering potential linked with MUO, including spa, hotel and private jets.
"JKN will focus on commerce to extend the MUO brand for merchandise in beauty-related business, such as cosmetics. We will also see 'drinking water with Vitamin C'."
She said the acquisition will enhance JKN's ecosystem such as content, media and factories, which could also be a boon for MUO's revenue.
"That is why the seller chose us."
According to Ms Jakkaphong, MUO will enable JKN to bring business to the global stage.
JKN will also appoint creative directors and set up business units to be responsible for fashion designs to leverage the Miss Universe Brand.
MUO will earn revenue from nine major sources, including franchising fees, hosting fees, production fees, merchandise and licence fees, distribution, broadcasting licences, earnings from Miss Universe programmes, format fees and talent management fees.
"We believe the beauty pageant on Jan 15 will be supported by sponsors in the post pandemic and the revenue is expected to rise 25% from the pre-covid level to achieve 1 billion baht," she said.
According to Ms Jakkaphong, Miss Universe is a super brand that can drive JKN's ecosystem and strengthen its vision towards a global content and commerce firm.
The Thai government should be the host of the contest as this mega event helps promote the country's soft power, she said. Miss Universe now has host countries until 2024.
When asked if she is interested in a political career, Ms Jakkaphong said this would depend on people's support.
JKN booked 994 million baht in revenue in the first six months of this year, up 10.4% year-on-year. It saw a net profit of 76 million baht during the period.