Next Fifteen Comm Acquisition
February 07 2018 - 1:00AM
UK Regulatory
TIDMNFC
7 February 2018
Next Fifteen Communications Group plc("Next 15" or the
"Company")
Acquisition of Brandwidth Group Limited
Next 15, the digital communications group, is pleased to
announce the acquisition of the entire issued share capital of
Brandwidth Group Limited ("Brandwidth"), a UK based digital
innovation agency on 6 February 2018.
The initial consideration for the acquisition is GBP6.2 million,
which will be settled with GBP4.9 million of cash and the issue of
292,235 new ordinary shares in Next 15. Further deferred
consideration may be payable in September 2018 of up to GBP3.3
million and April 2020 of up to GBP0.8 million based on the EBIT
performance of Brandwidth in the year ending 30 June 2018. The
maximum total consideration of GBP10.3m represents a 5.5x multiple
of Brandwidth's adjusted EBIT in the year ended 30 June 2017. The
acquisition is expected to be earnings enhancing for Next 15 in the
year to 31 January 2019.
For the year ended 30 June 2017, Brandwidth reported adjusted
net revenues of GBP7.3 million, adjusted EBIT of GBP1.9 million and
adjusted profit before tax of GBP1.9 million.
The joint CEOs, Phil Goodman and Jason Jones, and the Chairman,
Andrew Strange, will continue to lead the business which includes
clients such as Toyota, Royal Caribbean, Citroen, Kia and
Vodafone.
Tim Dyson, CEO of Next 15, commented: "Brandwidth is a great
addition to Next 15. It brings significant digital skills to the
Group, in particular we are excited to be able to offer clients its
capabilities around the use of voice. We see voice, through
platforms such as Google Home and Amazon's Alexa, as a highly
disruptive form of marketing. Their knowledge and experience of
working with these technologies are of immense value."
Jason Jones, CEO of Brandwidth, commented: "We are enormously
excited to be joining Next 15. Our visions are entirely aligned,
focusing on innovation at the centre of creativity, content,
technology and data. This strong alignment, with the acceleration
in capabilities that our partnership brings, will enable us to
greatly speed our clients' ambitions to deliver truly connected,
next-generation digital interfaces and transformative customer
experiences."
Application has been made to the London Stock Exchange for the
new ordinary shares in Next 15 to be admitted to AIM and it is
expected that admission will take place on 12 February 2018. The
new ordinary shares will rank pari passu with the existing ordinary
shares, including the right to receive all dividends declared, made
or paid hereafter. Following the issue and allotment of the new
ordinary shares, the Company will have 75,997,585 ordinary shares
in issue. No ordinary shares are held in treasury.
MAR
The information contained within this announcement is deemed by
the Company to constitute inside information as stipulated under
the Market Abuse Regulations (EU) No.596/2014 ("MAR"). Upon the
publication of this announcement via a Regulatory Information
Service, this inside information is now considered to be in the
public domain.
Enquiries:
Next Fifteen Communications Group plc Tim Dyson, CEO +1 415 350
2801
Investec Bank plc Keith Anderson / Neil Coleman / Darren Vickers
+44 20 7597 5970
View source version on
businesswire.com:http://www.businesswire.com/news/home/20180206006520/en/
This information is provided by Business Wire
(END) Dow Jones Newswires
February 07, 2018 02:00 ET (07:00 GMT)
Next Fifteen Communicati... (LSE:NFC)
Historical Stock Chart
From Apr 2024 to May 2024
Next Fifteen Communicati... (LSE:NFC)
Historical Stock Chart
From May 2023 to May 2024