In a major coup Authorised Investment Fund’s (ASX: AIY) investee Asian Integrated Media (AIM) has been appointed the exclusive media sales representative for the Formula 1 brand in the Asia Pacific region.
Authorised Investment Fund owns a 25% interest in programmatic advertising company AIM, with this stake to be bumped up to 30% shortly.
Under the appointment, AIM will represent the Formula 1 brand, and its assets in the region.
Formula 1 hosts one of the world’s most prestigious motor racing competitions and has an audience of 1.59 billion worldwide with more than 4 million people attending the brand’s races in 2018 – up 8% on 2017.
“We see this as an unprecedented opportunity to generate substantial multi-million-dollar revenues and work with both established and emerging brands in the region to promote themselves to the huge 1.59 billion Formula 1 audience,” AIM founder Peter Jeffery explained.
“We already work in this space through our association with the Grand Prix Management Group, so this perfectly complements our ability to work closely with our clients to get effective promotion to the enormous audiences that Formula 1 has,” Mr Jeffery added.
Liberty Media acquired the iconic Formula 1 Group in 2017 for $8 billion, and the brand posted a 10% rise in audience growth in 2018 with 490.2 million unique individuals registering during the year.
Annually, Formula 1 hosts 21 races in 21 countries spanning five continents, with the races broadcast in nearly 200 territories across the globe.
According to Formula 1’s own data, its motor racing is the fastest growing major sport on social media.
AIM’s strategy is to tap into Formula 1’s huge market in the Asia Pacific region and anticipates it will drive in excess of US$5 million into Formula 1 sponsorship in 2020.
The investee company also expects it will generate “substantially more” revenue in the following years as more Asian brands emerge on the global platform.
Founded in 2003, AIM represents premium media titles and platforms across Asia, Australia, Europe and North America.
Investors reacted positively to the news, pushing Authorised Investment Fund’s share price up more than 9% to reach $0.024 by midday.