Singapore’s leading media conglomerate MediaCorp will take an equity stake in VC-backed French skincare brand Crème Simon in return for providing advertising products and services, both companies announced.
This marks the first time that MediaCorp had done a media-for-equity partnership with a non-media company.
Media-for-equity is an alternative investment model to the more conventional cash investments and seed funding that the company has undertaken to grow its business inorganically, MediaCorp said.
MediaCorp did not disclose the amount of stake it would be getting in Crème Simon
This concept was first introduced about a decade ago by India’s Times Group, which publishes the country’s largest English daily – The Times of India – as well as the most circulated English business daily, The Economic Times, in addition to running several other publication titles and television and radio channels.
The deal will see MediaCorp provide Crème Simon Singapore with advertising space and airtime across a range of print, online, TV, radio and out-of-home platforms. With its media entitlements, Crème Simon Singapore said it aims to amplify its marketing efforts to promote its parabens-free skincare formulations, specially developed for different climate conditions.
“Crème Simon is one of the pioneering skincare brands in France, spanning over 155 years of celebrated legacy, but we’re just taking our first steps in Singapore,” said Felicia Soh, managing director, Crème Simon. “We will benefit greatly from this partnership which gives us an immediate means to make Crème Simon a household name here. We chose MediaCorp because of its complete range of media properties and its deep understanding of its customer segments, including women.”
Guillaume Sachet, MediaCorp’s head of strategic planning said, “Media-for-equity investments are an effective way for MediaCorp to optimise advertising inventory and participate in entrepreneurial ventures with potentially strong returns. Instead of investing money, we’re investing advertising media. Crème Simon, an exciting brand that offers clear value for both its customers and shareholders, is an ideal partner for our first such investment. With our media injection, people in Singapore will be seeing and hearing a lot more of Crème Simon.”