Media group Live! (ZhV)

The media group "Live!" was based by Mikhail Prokhorov and Vladimir Yakovlev in April, 2008.

The purpose - start and management of the innovation media projects which upgrade information space of Russia and will bring it into accord with requirements of the 21st century - quality and targeting of content, its adaptation under different channels of communication and also its creation as a result of joint works of professional journalists and bloggers.

Founders

• Onexim.

"ONEKSIMU belongs much more 90%. It is possible to tell that we are the only owners. De jure - no, de facto - yes" (on December 20, 2011 the chief executive ONEKSIMA Sergey Lavrukhin).

Assets

At the time of peak investments of founders into group its assets included:

• The Snob magazine - the first project "Live!" (since October, 2008).

• On December 15, 2008 the multimedia project about a healthy lifestyle "started Live!" (TV channel + website). "Not absolutely TV, is social television network. People integrate not only at TV screens, but also on the Internet on the website and also that is very important, in offline. Fitness tours, fitness weekend develop. All this story is in the general trend about a healthy lifestyle which is advanced by the Ministry of Health and our national leaders".

• On February 4, 2009 the weekly newspaper "F5 began to appear . Internet as way of life". In April, 2012 the edition appeared the structure of group "Live" it was closed later.

• Russky Pioner magazine

• RBC holding (Onexim is also controlled): At the end of 2011 the website of the Snob project agreed with RBC about partnership. RBC and Snob will do joint projects, to exchange traffic, content, perhaps, on the website snob.ru the branded blog of RBC about business will be started. It will help to increase brand recognition and to raise traffic.

• In the media group "ZhV!" there is a children's project, but we try to bring it out of media group, it is the author's project of Leonid Miloslavsky and Yury Katsman (boodoo.ru). They will develop it, to look for investors. In the media group "ZhV!" we do not see the place for the children's project (on December 20, 2011 the chief executive ONEKSIMA Sergey Lavrukhin).

Performance Indicators

2012

On December 20, 2011 chief executive ONEKSIMA Sergey Lavrukhin: "According to the standard magazine advertisement we understand that in 2012 you should not wait for any breaks. We are going to increase advertizing charges by 10%. It to a question that "Salon press" can give to 10% growth and it still needs to be reached. If to speak about Snob, then he has unique history. The magazine has a portal on which people gather. They have blogs, discuss events. It is to some extent social network though we call it club. More we plan growth of the Internet component of the project. We predict growth of revenue from the online project for 200%. In 2011 we received growth 160% more, than in previous.

2011

On September 28, 2011, Chief executive ONEKSIMA Sergey Lavrukhin: With the printing version of Snob everything is excellent, the sales plan of advertizing is implemented. In each number 40-50 of pages of advertizing".

Results of TV channel "Live!" in 2011 it is better, than we expected, in 2012 according to the plan the TV channel reaches profitability.

Plans of the IPO

On December 20, 2011 chief executive of the Onexim group Sergey Lavrukhin: "We are going to prepare since 2012 the reporting under the IFRS standards, transparent and clear to investors. 2012-2013 are a preparation. But to carry out the IPO, it is necessary to have a certain amount of business, today for Russia the company should have, in my understanding, revenue more than 100 million dollars. At such size it makes sense to do the IPO.

We plan such revenue approximately in two years. I will note that for an exit to the IPO there have to be several factors. Not only revenue size, but also correct corporate procedures, reporting and also desire of the investor".

Franchizing of a brand

On December 20, 2011 chief executive of the Onexim group Sergey Lavrukhin: Experience with the branded drinking water was positive. Water "ZhV!" will be soon delivered also in office RBC. Also we conduct negotiations with other companies which want to purchase franchizing and to make different products under the brand "ZhV!". This separate direction of business – franchizing of a brand. There is an opportunity to make good money on not media activity, and it.

• And vodka "Live!" will be?

No, vodka will not be. It is better to start baby food under our brand. We have the whole list of products and services which potentially could use the brand "ZhV!".

History

2008: Foundation of the company

In 2008 Mikhail Prokhorov got acquainted with a legend of the Russian journalism, the founder of Kommersant publishing house Vladimir Yakovlev. He convinced the entrepreneur to found new media holding which received the vital name "Live!" ("ZhV!"). The main idea of Yakovlev was in opening the edition addressed to big Russian diasporas worldwide.

At start the project investment cost was estimated at $150 million.

In October, 2008 there was first number of Snob — the glossy magazine intended for "Global Russians"

On December 15 the multimedia project about a healthy lifestyle "started Live!" (TV channel + website).

2009: Start of F5 newspaper

On February 4, 2009 the weekly newspaper "F5 began to appear . The Internet as a way of life" (it was headed by the former owner of the Sekret Firmy magazine Yury Katsman)

In May of the 2009th the website Snob.ru appeared.

In really tangled structure of media holding Yakovlev combined posts of the Chief Editor of "project" Snob and the president of the group "Live!". The journalist Masha Hesse who headed the website and the Snob magazine tells what at first she understood, the holding, "at the level of feelings" how exactly works.

"When we drove [in office] on the plant of "Armagh', the building was completely repaired, at the same time in it the residential apartment was separately built" — tells Hesse. According to her, the head of F5 Yury Katsman used housing. Soon Yakovlev decided to transport the staff of holding for Red October and again started expensive repair. By words Hesse, Yakovlev constantly flew to Ibiza where at it the house, by the private airplane — Hesse assumes that it occurred on money of the group "Live!".

The initial budget only of one Snob project made nearly six million dollars a year. In the staff list 127 people were registered; Hesse says that it does not even assume, than many of them were engaged. For example, she claims that in staff of Snob there was a personal massage therapist Yakovleva^[1].

According to sources in group of ONEXIM, Prokhorov spent for start of the group "Live!" in total more than 80 million dollars, however the project not only did not pay off, but continued to require several tens more millions of dollars annually.

2010: Lavrukhin investigates Yakovlev's activity

In the 2010th the entrepreneur invited in group of ONEXIM of Sergey Lavrukhin, the financier of the ProfMedia media holding (2×2 and MTV Russia TV channels, the website Rambler, ID Poster and other assets) belonging to the former partner of Prokhorov Vladimir Potanin. To Lavrukhin charged to bring order to the media companies of Prokhorov as it was obvious to all that a situation in them difficult. The financial position of the group "Live!" shocked the invited top manager.

"I needed four months to reach Prokhorov and to tell that it is a bacchanalia" — Lavrukhin tells Medusa.

As Lavrukhin claims, internal investigation showed that Yakovlev not only prodigally spent, but also directly "took away money from the company".

"Prokhorov, having investigated this story, decided not to pursue Yakovlev criminally and not to make public the event" — confirms Hesse.

"I consider that it was beautiful "divorce' — Lavrukhin says to "Jellyfish'. — It turns out, Yakovlev asked for Prokhorov just an abyss of money, created a certain similarity of media holding. It was five years unprofitable and never brought operating profit. It was just the fiddle while Rome burns".

According to the source from Prokhorov's environment, the businessman decided to talk to phone media manager — Yakovlev was on Ibiza at this time.

"In good old times you would be killed — the source of "Jellyfish' quotes Prokhorov. — I can make so that on you criminal case will be opened and will search for you worldwide. But I will not make it. Why? Yes just because you are m ****".

2011

Lavrukhin replaces Yakovlev

On September 28, 2011, chief executive ONEKSIMA Sergey Lavrukhin:

Media assets develop according to the budgets adopted for 2011. The main news concern RBC group. So, for example last week RBC was announced by a number of new acquisitions, having expanded borders of the presence at Internet business. It concerns closing of the transaction on purchase of 100% of business "Ru-center" and purchases of a controlling stake in the Internet portal "Ogorod".

As for media group "Live!", everything goes according to the plan: in October we are going to open Snob club on the Shooter. Recently held a big festival in TSPKIO it Gorky within the F5 project. Very great the Citizen Poet project develops. By the end of 2011 the management of media group waits for reaching operational profitability of all ZHIVI MG projects!^[2].

On October 28, 2011 the Onexim group announced Vladimir Yakovlev's dismissal^[3] from posts of the Chief Editor of the Snob project and the president of the media group "Live!"^[3]. The CEO of media group is also replaced - instead of Yury Katsman the chief executive of Oneksim and the chairman of the board of directors of RBC Sergey Lavrukhin became him.

Onexim it intends "pay much more attention to commercial effectiveness of media group 'Live!' now". "Implementation of this strategy will demand a different approach from management team of group. We trust in perspectives of development of media group and its major part - the Snob project, - the text of the message quotes the agency.

Part of the investments enclosed in the project also asked to return Yakovlev. At insistance of the CEO of group of ONEXIM Dmitry Razumov, Yakovlev signed the obligation on return more than one million dollars to Prokhorov's structures; similar papers were signed also by the Chief Editor of F5 Yury Katsman. Whether returned this money to Prokhorov, Sergey Lavrukhin does not know. In response to the proposal of Jellyfish in May, 2016 to talk about history of the group "Live!" the former ideologist of Snob Vladimir Yakovlev said: "Thanks, no, is not interesting".

Having left the CEO's post "Live!", Yury Katsman remained the Chief Editor of F5 newspaper entering into media group. Also in the message it is noted that other staff changes in "Live!" - in particular, in RBC and the Russky Pioner magazine - are not planned.

That Vladimir Yakovlev can be dismissed from a position of the Chief Editor of Snob, the Kommersant newspaper wrote on October 28. According to the edition, this solution is connected with the fact that Yakovlev did not manage to make the project profitable. In the blog on the website of Snob Yakovlev disproved later it, having said the following: "Oneksim has no claims to the commercial party of the project. How it develops, completely suits them".

These words were confirmed later by Lavrukhin, having said that Snob in the second half of the year 2011 managed to reach "breakeven point". He also noted that, as well as Yakovlev wrote, sales of advertizing in the Snob magazine in 2011 in comparison with the 2010th grew by 69 percent, and in general on the project - for 40 percent. According to Lavrukhin, Yakovlev leaves the project because "the directions of development of media group planned by the Onexim group were not supported by it".

In the same the 2011th Lavrukhin instead of Yakovlev headed the group "Live!" and was engaged in cost reduction. F5 edition on paper telling about the Internet phenomena in 2012 was sold to Yury Katsman (it was finally closed in the 2015th); the TV channel "Live!" was purchased by his managers of Milan Minayev and Ilona Danilova.

From all "empire" "Live!" Prokhorov had only Snob magazine (and its website) which was decided to be turned into the almanac and to release every two months.

Attempt of purchase of Dozhd TV channel

Also on October 28 it became known that the Onexim group began negotiations on purchase of Dozhd TV channel. Oneksim does not comment on this information yet, but it was confirmed by the CEO of Dozhd Natalya Sindeeva.

On December 20, 2011 the chief executive of the Onexim group Sergey Lavrukhin reported: "We had negotiations with Natalya Sindeeva (the co-owner of TV channel – the Comment red) about entry into the project. A question, as always, in the price, in where to move all this and for what money. In the TV-market there was a unique situation today: about 20 channels have the status federal, and there is a large number, nearly 300 TV channels which play in the lowest league, in league of cable TV. To receive pie of advertizing money, it is necessary for TV channel that it was watched. And the technical scope is for this purpose necessary, at least. That to receive it, very serious investments are necessary for the cable operator. For example, to agree with Mostelecom, to snare and receive a scope in Moscow of 4-4.5 million new households … The price is known in the market - within 12-13 dollars for one household. We multiply, we receive about 60 million dollars for receiving a technical scope only in Mostelecom. And still there are Akado, STRIM, HTB+ signal is necessary, and still it is necessary to agree with Tricolour, other players of the market, some small cable operators in regions. And still there is St. Petersburg, other cities of Russia … These are millions of dollars of investments.

RBC for all these 8 years gradually increases technical base, in 2011 we agreed with Mostelecom about the final, semi-million number of the connected subscribers. Now it is important for Rain, how fast Internet TV will capture users. When it happens – is not absolutely clear yet. And Rain needs to live and develop now. They have the way, they told us about it. We approximately considered how many this way will cost. There was a question – where to take money and on what conditions? ONEXIM is an investment holding, but, finally, kind of attractively the project looked, he needs all the same to be shorthanded rationally. Look, will shoot - will not shoot as in 3-5 years this business will be monetized. So far we with Rain go in parallel, getting accustomed. "Rain" goes on the coast, we - on the. There are no accurate arrangements yet.

• "Big city", Slon.ru ONEKSIMU are interesting?

• The Wow-effect is only from Rain, but if to think of it as about business, then already without wow. "Big city" in the market long ago. I worked as the chief financial officer of ProfMedia a few years ago. At that time we just bought Poster and … closed Big city, understanding that this project never in plus was with all help of Poster in terms of package sales. Present "BG" the same situation, here any more has no only package sales and the help of Poster. Though I wish all projects only success.

• And why to you ID Kommersant and what you think of the counter offer from Usmanov?

• We always consider any possibilities of development for the assets. Concerning possible acquisition of Kommersant and its integration, let's wait for adoption of our offer, and we will speak then.

As far as I know, so far no offers on sale of RBC to the ONEXIM group arrived. Personally I did not see them yet.

• After appointment you as the CEO "ZhV!" it was told about need of increase in commercial effectiveness of group. How will you cut costs, to raise income?

• Costa we cut actively, beginning from office expenses. We have two full-fledged offices, the first on the Automated workplace in which all media group ""ZhV historically sat!"", the second – on Red October. Snob had an idea to construct there club, restaurant. I consider that it was non-working history as there and there are so enough places for a power supply. Besides, it was not absolutely clear how edition in restaurant can work. Waiters, music, Roma, bears and – edition. So it turned out that serious money is spent and two full-fledged offices work. Today we are going to collect all projects at one office on Red October again. By a year for office it is possible to save 1.5 million dollars only on lease payments. And examples where it is possible to optimize costs, there is a lot of.

One of the most important issues which should be solved: we look for the Chief Editor of the printing version of the Snob project, the one who will be his ideological inspirer. We had about 20 candidates, now the list was pressed down to three, till New 2012 the decision should be made.

2012: Nikolay Uskov headed "Live!"

On February 1, 2012 the media group "ZhV!" was headed by the new president - Nikolay Uskov who was earlier working as the Chief Editor of the Russian version of the GQ magazine. "The purpose — to make hyper successful publishing media group, it is obvious. I consider that it is absolutely implemented, there are no difficulties. It is just necessary to take certain logical market steps, than I also intend to be engaged" — he said RIA Novosti at the beginning of 2012.

2013: Completion of work of group

January, 2013: The media group "Live!" of Mikhail Prokhorov stops existence. The CEO of RBC holding (also belongs to Prokhorov) Sergey Lavrukhin told about it in an interview to Gazeta.ru.

"The project initially was very expensive — snobbish history. But in the last two years it was much made to cut down expenses and, respectively, financing from the shareholder. The idea was to create big media holding "Live!" with a big set of different assets, such as Snob in whom there was separate website, the magazine, organization of events, club, "The Russian pioneer", F5 newspaper, TV channel "Live!", children's projects and others. Unfortunately, the idea was not successful. It was an expensive story with serious financing from Oneksim. Now from all projects remained only Snob and TV channel "Live". So there is no media group "Live!" actually as such any more. There are two separate projects" — he explained.

In turn, the CEO Snob of Media Marina Gevorkyan said that media group "Live" existed as management company from the moment of the basis.

"It integrated several versatile projects which, being formal a part of one holding, from the very beginning were independent and independent from each other, with the vector of development" — she told.

"At the end of 2012 in holding restructuring process began. This work long and up to the end is not completed yet. As a result of restructuring there are two independent projects: "Snob" and TV channel "Live!"" — Gevorkyan confirmed.

See Also

Media about IT and a telecom (the market of Russia)

Notes