Quickflix the Australian content Company that has never made a profit and reported a $4.2m loss on revenues of $8.6m for the six months to December 31 has been targeted by giant US media Company Netflix who is set to launch in Australia in 2015.
The Australian newspaper is reporting today that Quickflix has held “serious” discussions with Netflix about taking a strategic stake in the WA based business.
SmartHouse exclusively reported that Netflix is set to launch in Australia in Q1 2015 with Hollywood Studio’s set to sign contracts shortly for the supply of Australian content in 2015.
We have also been told that Quickflix CEO Stephen Langsford recently held meetings with News Corporation executives with a view to gaining an investment in his business that has a market cap of only $13.8 million.
Earlier this week Nine Entertainment purchased an 8 per cent stake in the business for $1m, they acquired all of Time Warner subsidiary Home Box Office’s redeem?able preference shares.
The Australian believes that Netflix is interested in Quickflix for its local content and platform deals that could be used by the US streaming giant as a launch pad into the local market. Sources said Netflix was also interested in a stake in Quickflix as a defensive man?oeuvre against Nine Entertainment and other local media players, including Seven and New Corporation, which are said to have held talks with Quickflix.
