In this report we take a look at the activities and game plans of Canada’s public production companies.

In this report:

Alliance p. 40

Atlantis p. 42

Cinar p. 39

Coscient p. 40

Devine p. 42

Greenlight p. 43

Keystone p. 43

Malofilm p. 37

Nelvana p. 38

Paragon p. 40

Devine Entertainment is a company with a mandate to entertain children aged seven to 11 with classical music, narrative, ballet and opera. On June 30, 1994, 12 years after the company was founded, Devine Entertainment Corporation was listed on the Alberta Stock Exchange, opening at $1.50 per share. On Dec. 22 of last year Devine also listed on the nasdaq bulletin board.

According to company president and ceo David Devine, stock is up 60% in the last year and half and the company is worth $23 million undiluted.

There are 7.8 million outstanding shares on an undiluted basis and the rights offering which closed Dec. 15, 1995 would add, on conversion of the debentures, an additional 750,000 shares. 5.5 million are shared equally between David Devine and Richard Moser under an escrow agreement with the Alberta Exchange.

Total revenues of the company have jumped from under $1 million to $7 million since the company went public on the ase and nasdaq bulletin boards.

Much of the company’s success is owed to The Composer’s Specials, a $7.2 million six-part project for broadcast and home video.

Completed in 1995, market value of the series, on a gross revenue basis, is projected to be between $14 million and $19 million over four and a half years.

The Composer’s Specials have already been distributed in 15 countries, and within the next 24 months Devine hopes to see it distributed in well over 50.

Bizet’s Dream, the first of the broadcast specials/home videos, has only been in stores in the u.s. and Canada since Dec. 7, 1995 and is enjoying an ‘85% sell-through in the Border’s outlet chain,’ says Devine. The company owns 92% interest in the videos which are designed to be evergreen sellers.

The goal is to expand the The Composer’s Specials into books, cd-rom titles and other tangential markets. The company has a worldwide record agreement for the marketing and sale of six ancillary cd sound track releases with Sony Music International, nyc.

On the slate for 1996 is the Inventors series, a six-part $9.18 million broadcast/home video period project for seven- to 11-year-olds based on great inventors. Inventors will be ready to shoot in Toronto, Dublin and Milan through 1996 and 1997.

Within the next 12 to 24 months the company will be looking at expansion and development of its distribution sectors.

The Devine library includes an interest in Raffi – A Young Children’s Concert in 1985, the first of its live-action films, and Raffi in Concert with the Rise and Shine Band in 1989, both mca. Each have grossed $11.2 million with net profits of about $2 million. Devine also owns a 51% interest in the Primetime Emmy Award-winning Beethoven Lives Upstairs, a broadcast special/home video for children.