June 26, 2014
Today (26th June, 2014), global mobile money technology provider – Monitise – announced the acquisition of the business and assets of Markco Media Limited, along with the entire issued share capital of Last Second Ticketing Limited. This move will instantly enhance Monitise’s international mobile commerce network.
Markco Media has established itself as a leading player in creating digital solutions that link consumers to retailers via innovation, marketing and technology. Buying rather than building these assets brings Monitise a marketing content delivery platform that has been developed over almost eight years, an instant network of marketing content partners, and a platform scalable across geographies, stated Monitise Chief Commercial Officer, Lee Cameron, in a press release. This transaction marks another step in our mobile commerce journey to make it easier for financial institutions, payment companies, mobile operators, network partners and retailers to connect with consumers in our increasingly mobile lives, he added.
The initial consideration for the Acquisition is to be satisfied by the issue of 43,729,676 new ordinary shares of 1p each in the Company ('Ordinary Shares), valued at £24.5 Mn, based on the closing share price of 56.0p on 25 June 2014, a further £2.5 Mn of consideration held back for two years, payable in Ordinary Shares, and an earn-out consideration of up to an additional £28 Mn payable in Ordinary Shares on the basis of retention and achievement of aggressive earn-out targets over two years. The business, which is expected to be EBITDA profitable in 2015 on a standalone basis, recorded EBITDA losses on a pro forma basis of approximately £0.4 million in the financial year to 31 July 2013, states the press release.
Mobile is driving a fundamental shift in consumer behaviour and increasingly playing a leading role in the buying decisions of consumers as they use their smartphones and tablets to research and buy. Brands are realising just how important it is to adopt a mobile-first approach to getting in front of existing and new customers, commented Mark Pearson, Founder of Markco Media, in the same release. Given this, we are incredibly excited about becoming part of the growing Mobile Money ecosystem that Monitise is building across financial services, payment processors, mobile network operators and retailers.