Ascential plc, the business-to-business media company has acquired US-based e-commerce analytics provider Oneclickretail.com LLC for an initial cash consideration of $44 million plus future earn outs.
Future earn outs, based on multiples of adjusted EBITDA, are payable in the four years 2016 to 2019 in cash or, for certain elements, shares at Ascential’s option. A portion of the earn-out payments is also subject to founders remaining in employment with the company. The total aggregate consideration, including initial consideration and earn out payments, is capped at $225 million in the event that stretching profit targets are reached. The transaction is expected to complete on 31 August 2016.
One Click Retail provides data analytics to help brands optimise their eCommerce activities. Customers include Procter & Gamble, HP, Unilever, Hamilton Beach, Nestle and Panasonic. Revenue is generated predominantly through recurring annual subscriptions to the company’s Dashboard product which provides insights to help customers drive sales through Amazon and other eCommerce retailers. The insights focus on product market share, its drivers, and the actions that can be taken to increase sales.
One Click Retail had revenue of $4.9 million and Adjusted EBITDA of $3.4 million for the twelve month period ending December 2015, with a year-on-year growth of 59% and 78% respectively. Gross assets at December 2015 amounted to $0.8 million. Annualised subscription contract value stood at $10.1 million as of July 2016.
Duncan Painter, Chief Executive Officer of Accentual said, “We are delighted to welcome One Click Retail and Spencer and his team to Ascential. It is a quality business that we have been tracking for some time in an exciting part of the retail vertical. As a high-growth, globally scalable subscription information service product, One Click Retail fits with Ascential’s strategy of owning scalable, global market-leading products and we look forward to helping its talented management team to accelerate its growth.”
The company was founded in 2013 by former Amazon and Walmart executive Spencer Millerberg, and is based in Salt Lake City, Utah, USA.
UK, London & USA, Salt Lake City, UT