UK-based tech start up Immotion Group, which specialises in the immersive virtual reality (VR) ‘Out of Home’ entertainment sector, went public today on London’s junior stock market AIM.
The Manchester based company plans to raise £5.75m in funding.
Immotion creates virtual reality machines which are used in gaming arcades, theme parks and shopping centres. They typically charge around £5 for customers to use the virtual reality machines.
VR content and motion platforms
The company anticipates its shares will trade around 10p. It is therefore expected to have a market capitalisation in the region of £19.54m.
Funds raised will be used to implement Immotion Group’s strategy. This is to become a leading player in the ‘Out of Home’ VR experience market. It will do this by creating and publishing high quality VR content and combining this with its own VR motion platforms. The ‘Out of Home’ VR experience market is forecast to grow eight-fold to $8bn by 2022.
Immotion generates revenues through the delivery of high quality state-of-the-art VR experiences. These are combined with cutting edge motion platforms to consumers at an affordable price. The business both sells its VR Motion Platforms to leisure and entertainment operators and also works with concession partners.
Its equipment is currently installed at Merlin Entertainments’ Lego Discovery Center in Boston, USA. It is also at Genting Resorts World in Birmingham. Broadcaster and naturalist Sir David Attenborough recently fed a VR dinosaur courtesy of Immotion Group at Yorkshire Museum’s to unveil a new exhibition, “Yorkshire’s Jurassic World“.
An immersive virtual reality business model
An owned and franchised outlet – trading as Immotion VR – in Bristol opened in December. It has seen growing revenues and a 100% 5* reviews on TripAdvisor.
Immotion Group’s award-winning creative studios creates VR content for its motion platforms. These are published using its proprietary Content Management System (CMS). This was established by Martin Higginson and David Marks, two highly experienced technology and media entrepreneurs, with Sir Robin Miller as Chairman.
Higginson is Chief Executive Officer of Immotion Group. He said: “In combining award-winning storytelling, CGI production and precise motion synchronisation, Immotion Group can deliver experiences that are not easily replicable in the ‘in home’ market. We have already experienced a very positive reaction from consumers, many of whom are trying VR for the first time, and also from business partners who see the strong potential for our VR platforms to provide a new revenue opportunity.
“The five star reviews received from our retail customers, along with the early sales of motion platforms and a successful launch experienced by our Concession Partner, Merlin Entertainments’ Lego Discovery Center in Boston, have also given us confidence in the market and our strategy to deliver on the opportunity. As a result we believe that this IPO will enable us to build momentum and achieve our goal to build the business across the UK, Europe and USA in what is an exciting, fast growing market.”