The London-based post-production group - which owns Beach 74, 50% of Concrete and 50% of Click - is looking to terminate financial agreements* on a third of its Avid Xpress editing systems and two SD telecine machines.
Joint managing director Terry Bettles said: “We've taken a bold stance in pulling out of these markets - we are losing money here and want to cut our losses.”
He added: “As a result of purchasing P3, Baraka and Frontier Post over the past few years, the company had a surplus of equipment and this, combined with our decision to move out of offline, has meant we have had to terminate agreements.”
The move will free up two floors of TV Set Group's Newman Street building. Bettles hopes to rent these out to production or post companies that have “synergistic potential” for TV Set.
No redundancies are likely to be made as offline facilities were offered on a dry-hire basis using freelancers.
Property consultants Feiner de Smith is offering 74 Newman Street to let as a whole or in part. This revelation, combined with the termination of equipment agreements, has fuelled negative speculation in the industry.
Bettles said: “We [try to let the building] every few years to see what demand is out there, we are keen to see who might be prepared to take up the space.”
*Broadcast's financial advisor explained that in order to end current agreements the company will have to first clear any debts on those agreements before they can be released from them.