The following was released today.
Bischoff Hervey Entertainment Sets Sights on New Media and $80 Billion/Year Sector
Acquires 50% Stake in Games Developer MX Digital
LOS ANGELES, Dec 18, 2012 (BUSINESS WIRE) -- Bischoff Hervey Entertainment Television (BHE TV) today announced the acquisition of a 50% equity stake in MX Digital, a leading games developer.
Established in 2008, MX Digital is a leading developer of interactive, casino, and betting games that are delivered on a variety of online and mobile platforms. With offices in Los Angeles, Buenos Aries, and Miami, MX develops and distributes games in more than 20 countries. With a heavy focus on proven brands, they are industry-leaders in game design, game marketing and promotion.
"We're incredibly excited about our partnership with MX. We're expanding into an entirely new sector of entertainment and content," says Eric Bischoff, who, along with Jason Hervey, founded BHE TV in 2003.
In a recent report, analysts at Morgan-Stanley project that casino-style games on social networks alone may be worth as much as $7 Billion by 2015, given the dramatic growth rates in the sector.(1)
The management team at MX includes interactive industry veterans Ike McFadden and Matias Montero, both of whom bring more than a decade of experience in the gambling and gaming sector, and Ted Lanes, a 25 year technology and consumer products CFO.
"Combining the skill sets of Bischoff Hervey Entertainment with those at MX puts us at a unique advantage in this explosive business sector," noted Bischoff.
BHE TV has been a leading producer of reality programming for Discovery Channel, CMT, NBC, VH-1, TruTV, SPIKE TV, and the CW. Recently, the company broke new ground by moving into the scripted comedy genre, with the first season of "See Dad Run", starring Scott Baio and currently airing on Nick at Nite.
"The partnership is the perfect strategic fit for us. The relationships and experience BHE TV has built in the entertainment and licensing world allow us to significantly broaden our content, and access top entertainment brands quickly," says Ike McFadden.
"With MX, we're excited to find ourselves at the forefront of an entirely new entertainment sector. Combine the enormous growth in online gaming globally, and the explosion in popularity of mobile, and social games, and you've got an emerging sector that's already massive. Getting in on the ground floor of an entirely new medium is a once-in-a-lifetime opportunity", added Jason Hervey.
The interactive market is an increasingly important revenue channel for networks and studios, with game-related revenue outperforming many traditional sectors of the media. According to researchers at the Gartner Group, gaming revenue is heading sharply higher, with the value of the global gaming industry expected to rise 20 percent this year, up from $74 billion in 2011 to $90 billion in 2012.(2)
MX Digital is represented by CAA in Los Angeles.
(1) "Click Here to Play: Social Gambling", Morgan Stanley Blue Paper. November 21, 2012.
(2) "Online Gaming Gets New High Score", The Gartner Group. May 21, 2012.