Next Fifteen Communications Group acquires Brandwidth

Next15Next 15, the digital communications group, has acquired the digital innovation agency Brandwidth.

The initial consideration for the acquisition is £6.2 million, which will be settled with £4.9 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 £3.3 million and April 2020 of up to £0.8 million based on the EBIT performance of Brandwidth in the year ending 30 June 2018. The maximum total consideration of £10.3m 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 £7.3 million, adjusted EBIT of £1.9 million and adjusted profit before tax of £1.9 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.”

UK, London

Related articles:

Aegis Media acquires mvi in Canada

Aegis

 Aegis Media, the media and digital communications group, has acquired nvi.

nvi, with offices in Montreal and Toronto, is a specialist performance marketing agency whose focus is on search marketing and digitalnvi performance media. Established in 2005, nvi has built a fast-growing business, with a diverse client base including, Allstream, RONA, Club Med, Michael’s and Chapters/Indigo.

Aegis Media Canada currently comprises Carat, Vizeum and Isobar. nvi will join Aegis Media’s iProspect network, expanding the brand throughout Canada. nvi co-founder Guillaume Bouchard ,  will become CEO of iProspect Canada. The  acquisition will increase Aegis Media’s Canadian digital revenue by 15% and by as much as 33% in the Quebecmarket.

“nvi is a market leader in search and digital in Canada,” said Nigel Morris , CEO Aegis Media Americas & EMEA. “The Canadian performance market is evolving at a rapid pace and this acquisition will make us very well positioned to harness this growth.”

UK, London & Canada, Montreal

Related articles