News Corp is launching a media fund for Australian startup businesses, providing advertising inventory and marketing support for those seeking to become household brands. It is the first time a media equity move has been attempted in Australia, it says.
The initiative, called Scaleup Mediafund, works directly with businesses and venture capital to provide ad inventory, campaign executions and real-time reporting, in exchange for a minority shareholding in startups.
Scaleup is part of News Corp Australasia executive chairman Michael Miller’s mission to prioritise innovation and is aimed at companies struggling to raise brand awareness and gain mass market penetration.
Miller says: "There is a tipping point for all growing companies when they need to spread their message more widely to take the next step in their success. We believe in Australian ingenuity and we are delighted to be able to offer Australian innovators the opportunity to take their business to the next level.
"Many companies that could be great spend years of hard work refining products and taking risks, only to stall at a certain point. This fund had been established to help such businesses achieve critical mass by taking their services and products to millions of people.”
Fox Sports CEO Patrick Delaney says young entrepreneurs now have the chance to use the promotional power of the media company to grow their ventures.
Nova Entertainment chief executive officer Cathy O’Connor says: “Nova Entertainment has a strong commitment to innovation and is proud to join Scaleup Mediafund to help build new Australian businesses through the power of our radio brands Nova and SmoothFM.”
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