IMAC will receive £13.93m from Live Nation for its stake in the company, which owns and operates the hugely successful dance festival Creamfields each August bank holiday weekend.
Cream made a pre-tax profit of £1.42m in the financial year to January 31, 2012.
The development fund’s net book value in Cream at the turn of the year was about £6.23m, giving it a gain of £7.7m through the sale – equivalent to 5.38 pence per ordinary share.
IMAC picked up its interest in Cream from UBS Jersey in August 2008.
The Ingenious Live VCT1 and VCT2 vehicles retained a share of further upside for the two years following the completion of the deal, in the event of a sale of the Creamfields brand for an amount in excess of an agreed exit multiple.
Ingenious Ventures CEO Patrick Bradley said, “We are extremely pleased to announce the sale of our holding in Cream to Live Nation, which has produced an excellent return for IMAC.
“We remain committed to actively managing the remaining portfolio, and will seek exits when circumstances are appropriate for each company.”
IMAC also manages investments in Whizz Kid Entertainment, DRG, Brand Events, brandRapport Group and Review Centre.
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