Progressive Digital Media Group Acquisition of CurrentAnalysis Inc
London – July 8, 2014 – Progressive Digital Media Group plc is pleased to announce its agreement to acquire the entire issued share capital of CurrentAnalysis Inc. (“CurrentAnalysis”), for a gross consideration of US $19.6 million in cash payable on completion. Completion, which is subject to the approval of CurrentAnalysis shareholders, is expected to occur within 30 days and will be funded from the Group’s existing cash resources.
Background to the Acquisition
CurrentAnalysis is an established and well regarded business which provides subscription based business intelligence services to the ICT industry. The acquisition supports the Group’s strategy of expanding its premium subscription based services into global markets. CurrentAnalysis has offices in Washington D.C, London and Singapore.
For the financial year ended 31 December 2013, CurrentAnalysis reported revenues of approximately US $13.0 million, with net liabilities of approximately US $2.3 million.
The Progressive Board believes that, with the benefits of being part of the enlarged Progressive Group, the Acquisition will be earnings accretive within the first twelve months post acquisition, though the impact on the Group results to 31 December 2014 are expected to be broadly neutral.
Commenting on the acquisition Simon Pyper, Chief Executive of Progressive Digital Media, said: “The acquisition of CurrentAnalysis satisfies all of our acquisition criteria, providing subscription based business information services to blue chip companies operating in a global sector. Additionally, CurrentAnalysis augments our existing platform and significantly increases our footprint in the key North American market.”