XLMedia PLC Acquisition (2001W)

TIDMXLM

RNS Number : 2001W

XLMedia PLC

07 February 2017

 
For immediate release  7 February 2017 
 

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF THE MARKET ABUSE REGULATION EU 596/2014 ("MAR").

XLMedia PLC

("XLMedia" or "the Group" or "the Company")

Acquisition of mobile performance marketing platform

XLMedia (AIM: XLM), a leading provider of digital performance marketing, is pleased to announce the acquisition of ClicksMob Inc ("ClicksMob"), a mobile performance marketing platform.

XLMedia, via Dau-Up, the Group's mobile marketing subsidiary, has signed a definitive agreement to acquire all business and assets of ClicksMob for a total consideration of $5.1 million, payable in cash. The acquisition is expected to complete during the first quarter of 2017 and is expected to be earnings accretive in the current financial year. ClicksMob generated unaudited revenues of $16.3 million and profit before tax (excluding share based payments) of $0.3 million for year ended 31 December 2016.

ClicksMob delivers performance-based user acquisition to leading apps across a number of verticals, including gaming, e-commerce, travel, entertainment and finance. The addition of ClicksMob will provide the Group with significant presence in Asia, with over 30% of ClicksMob 2016 revenues generated from the region.

Through leveraging the Group's existing expertise within games and social marketing, the combination between Dau-Up and ClicksMob will enable XLMedia to deliver services to a wider range of customers in different verticals and geographies, whilst maximising benefits of scale.

As part of the transaction Dau-Up will acquire ClicksMob's proprietary technologies such as audience matching, engine optimization and fraud fighting tools which will be integrated with Dau-Up's own technology.

Ory Weihs, Chief Executive Officer of XLMedia, commented:

"We are excited to announce the acquisition of ClicksMob, which combined with our own mobile marketing capabilities provides a significant future growth engine for the Group across key verticals. This acquisition represents an excellent opportunity for XLMedia to further extend our reach in Asia in addition to strengthening our presence in North America.

"As mobile marketing becomes a driving force in the online marketing world, we see this as a strategic acquisition to further strengthen our offering in this important vertical."

For further information, please contact:

 
 XLMedia plc Ory Weihs www.xlmedia.com   Tel: [phone] 
 Vigo Communications Jeremy Garcia       Tel: [phone] 
  / Fiona Henson www.vigocomms.com 
 Cenkos Securities plc (Nomad            Tel: [phone] 
  and Joint Broker) Ivonne Cantu 
  / Camilla Hume www.cenkos.com 
 Berenberg (Joint Broker) Chris          Tel: [phone] 
  Bowman / Mark Whitmore / Amritha 
  Murali www.berenberg.com 
 

This information is provided by RNS

The company news service from the London Stock Exchange

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February 07, 2017 02:00 ET (07:00 GMT)