_wige MEDIA AG / Key word(s): Strategic Company Decision/Disposal 08.12.2016 11:58 Disclosure of an inside information according to Article 17 MAR, transmitted by DGAP - a service of EQS Group AG. The issuer is solely responsible for the content of this announcement. --------------------------------------------------------------------------- _wige MEDIA AG builds up new sporttotal.tv business, along with its international project business, and sells _wige BROADCAST and _wige SOLUTIONS Cologne, 8 December 2016: In the future, _wige MEDIA AG intends to grow in the scalable digital business, in the high-margin international project business, as well as in business with live events. Through a partnership with the German Football Association (DFB), the company intends to equip German amateur football clubs with special video technology that enables games to be transmitted live in a high quality and fully automatically using the new "sporttotal.tv" platform. The company will therefore sell the loss-making business with TV production for domestic and international broadcasters, associations and organisers, as well as the low-margin and capital-intensive media technology business. Today _wige MEDIA AG signed the respective agreements. Under these agreements - and as soon as the conditions precedent customary in the market have been fulfilled - _wige BROADCAST gmbh (TV production) will be sold to Wolfgang Reeh and the assets of _wige SOLUTIONS gmbh (media technology) to wige SOLUTIONS GmbH & Co. KG, a company newly founded by Thomas Riedel together with a partner. The purchase price for the sold operations amounts to EUR 4 million in total, EUR 3.5 million of which for _wige SOLUTIONS gmbh and EUR 0.5 million for _wige BROADCAST gmbh. _wige MEDIA AG is likely to receive EUR 1.6 million in cash from the transaction. As from 2017, the disposal of the two sets of operations will generate a sustainable positive liquidity effect that averages around EUR 1.8 million a year in investment that is no longer necessary. This will considerably reduce capital requirements. For instance, in the first half of 2017 alone, _wige would have had to have invested EUR 1.1 million in the broadcast segment and media technology. _wige MEDIA AG will continue to operate as general contractor in TV production while passing the risk of operational losses from the highly seasonal business to the buyer. In addition, _wige MEDIA is likely to raise hidden reserves by EUR 0.8 million in the context of restructuring. At the same time, one-off non-cash charges of approx. EUR 3.2 million arise from the disposals. Since only parts of the major order concerning technical equipment for the racing track infrastructure projects in Kuwait can be taken into account in 2016, revenues this year are likely to amount to EUR 63 million and EBT to EUR-6.5 million. Consistently positive earnings with steady growth are anticipated from 2017 onward. Contact: Company: _wige MEDIA AG Am Coloneum 2 50829 Köln Germany www.wige.de Tel: +49 [0] 221_7 88 77_ 0 Fax: +49 [0] 221_7 88 77_ 199 Email: [email protected] Investor Relations: BSK Becker+Schreiner Kommunikation GmbH Tobias M. Weitzel Tel.: +49 [0] 2154_ 81 22 16 Email: [email protected] 08.12.2016 The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Archive at www.dgap.de --------------------------------------------------------------------------- Language: English Company: _wige MEDIA AG Am Coloneum 2 50829 Köln Germany Phone: +49 (0)221 7 88 77 0 Fax: +49 (0)221 7 88 77 199 E-mail: [email protected] Internet: www.wige.de ISIN: DE000A1EMG56 WKN: A1EMG5 Listed: Regulated Market in Frankfurt (General Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Stuttgart, Tradegate Exchange End of Announcement DGAP News-Service ---------------------------------------------------------------------------