What started as a simple project to fill the time during the COVID-19 pandemic has turned into a multi-million dollar media company.
The La Poche Bleue sports podcast franchise of hockey players Guillaume Latendresse and Maxim Lapierre is sold to Toronto-based sports content platform Playmaker Capital in exchange for consideration valued at $8.8 million, including $2.25 million in cash payable immediately to the closing of the transaction.
“It made a lot of people’s eyes widen,” commented Philip Merrigan, a professor in the economics department at UQAM.
“Hockey attracts a lot of attention from people, from young people, he says by way of explanation to understand the selling price.
“We are very surprised, recognizes Maxim Lapierre from the outset, in an interview. Guillaume and I started this project for fun. From there to say that it was going to become a business for sale, it was never our intention until we started to receive calls. We’ve had a few in the last two years. Then, finally, we decided to take action because we said to ourselves that to grow and then continue to evolve in the right direction, it took a helping hand. »
“I always thought that a project like La poche bleue could exist in the Quebec market,” says Guillaume Latendresse. We must thank the public who embarked on our madness, in our humor, in our authenticity and our naivety too. It starts from the connection we had with the public and the partners who decided to embark on and then support our project. »
The franchise includes eight sports podcasts, some in English, and earns royalties on consumer products.
By integrating with Playmaker, La poche bleue gains access to a technological broadcasting infrastructure and a showcase in English Canada for its consumer products such as beer, gin, cheese, BBQ sauce and soon sausages , points out Mr. Dorais. “These are partnerships that can expand and move out of Quebec. »
His podcasts are broadcast on platforms like YouTube, Facebook, Spotify and iTunes. The one who is at the origin of the project, La poche bleue, led by MM. Latendresse et Lapierre, is also broadcast under license on Cogeco Media radio. It is mainly about hockey and is followed by 31,000 subscribers on YouTube. Since its debut in 2020, the podcast has generated more than five million views with an average length of more than 30 minutes, the acquirer said in the statement announcing the transaction.
Playmaker is listed on the TSX Venture Exchange. Consolidating, the company grew through acquisitions. Playmaker posted revenue of US$53 million over the past four quarters on a pro forma basis and earnings before interest, taxes, depreciation and amortization of nearly US$19 million, growing strongly over the past two quarters.
Its business model is to monetize digital sports content through traditional advertisers and partnerships with online sports betting and gambling companies. Playmaker is present in Western Canada through The Nation Network, and in the United States.
According to Louis-Philippe Dorais, Playmaker approached the partners of La poche bleue at the end of 2022. It was looking to acquire a platform to establish itself in the province. Discussions continued until an agreement was reached.
In detail, Playmaker is paying consideration valued today at 8.8 million: 2.25 million in cash, 1.67 million shares of Playmaker with a current value of 1.25 million, and an additional 5 million which will be paid out over the next two years based on the achievement of certain financial returns.
“It strikes the imagination. It’s still a substantial amount, but one that makes sense for Playmaker because it is partnering with two great figures much loved by sports fans,” said Paul-André Côté, partner at @Celsius, an agency specializing in activation. brands.
The sponsorship specialist finds compensation in the form of shares interesting.
Asked about the sale price, Mr. Dorais justifies it by the revenues generated and their growth potential. “The podcast is presented by Ford. Sometimes we’re in the Molson Ex Zone. We have sponsorship integrations all over the podcast. We have advertising on our website too. These are all ways to market our product. »
A title sponsorship of a popular Quebec sports podcast can represent between $50,000 and $100,000 a year, says Mr. Côté, who commercially represents the franchise Femme d’hockey, balado d’Isabelle Éthier. “Depending on the monetary structure of the ads that can be integrated into the podcast, the total revenues can flirt with $175,000 to $200,000 at best. »
Can this deal serve as a comparable to successful podcast producers like Mike Ward, the expert was asked. “He must be salivating. If the ecosystem of Guillaume and Maxim can be worth 8 million, Mike Ward with the part of the rights of his catalog that he could sell can arouse interest. »
Called to comment on the transaction, Mike Ward and his agent Michel Grenier declined the invitation. “I’m happy for the guys at La Poche Bleue,” Mr. Grenier simply said.
Created: April 10, 2020
Propriétaires : Guillaume Latendresse and Maxim Lapierre
Headquarters: Sainte-Julie
Collaborators: around 25 freelancers
Main products: eight podcasts, an official website and merchandising royalties
