Next Fifteen Comm Acquisition

 
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Next Fifteen Communications Group plc

("Next 15" or the "Company")

Acquisition of Elvis Communications Limited

Next 15, the digital communications group, is pleased to announce the acquisition of the entire issued share capital of Elvis Communications Limited ("Elvis"), a UK based integrated digital agency with a focus on consumer brands.

The consideration for the acquisition is GBP5.5 million in cash, representing a 5.5 multiple of 2017 forecast adjusted EBITDA. The consideration comprises a GBP5 million up-front payment for the business followed by a deferred payment of up to GBP0.5 million (subject to adjustments). The acquisition is expected to be modestly earnings enhancing for Next15 in the current financial year.

For the year ended 31 December 2016, Elvis reported adjusted net revenues of GBP4.7 million, adjusted EBITDA of GBP0.75 million and net assets of GBP0.9 million. Elvis is to be acquired on a cash-free, debt-free basis.

Tanya Brookfield has been CEO since 2013 and will, along with her management team, continue to lead the business. Clients include global brands such as, Cadbury, Honda, Stella Artois, Budweiser, Corona and Kenco.

Tim Dyson, CEO of Next 15, commented: "The future of marketing will be determined by how it embraces technology and data. Elvis, which is renowned for its creativity, shares this vision and will be a great addition to Next 15. The team has already partnered with our MIG team and we see several opportunities for them to connect with other parts of the group going forward. Most importantly, we are excited to have the Elvis team as a part of the Group. Visions and missions are nothing without the talent to execute them."

Tanya Brookfield commented: "We're hugely excited to be joining Next 15. We have a shared vision that traditional creativity can be fused with digital, data and technological innovation to deliver transformational business success for our clients. This partnership will supercharge our capabilities, whilst retaining the conditions that make Elvis a unique working environment."

Enquiries:

 
Next Fifteen Communications Group plc 
Tim Dyson, CEO                          [phone] 
Investec Bank plc 
Keith Anderson / Matt Lewis             [phone] 
 
 
 
 

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(END) Dow Jones Newswires

September 15, 2017 02:00 ET (06:00 GMT)