Print
	Email
	Text size
	Comment

An AIM-listed communications and advertising group has expanded its expertise after buying a direct and digital marketing specialist.

Mission Marketing has bought Story UK as part of its strategy of targeting complementary businesses to enhance its services. This latest deal, which follows its recent acquisitions of April-Six and thinkBDW, extends its geographical coverage and moves its operations into the drinks, luxury goods, financial services and utilities markets.

The deal could be worth £13.5 million if all performance targets are achieved. On completion, £6.9 million was paid comprising £4.1 million in cash and loan notes with the balance satisfied through the issue of more than 2 million new ordinary shares.

An additional deferred sum of £100,000 in cash and the same value in shares is also due if ebit for the nine months to January 2008 exceeds some £1.3 million.

The agreement includes a final payment of up to £6.4 million in March 2011, if Story’s pre-tax profits meet agreed levels in the next three years.

Story was established by Dave and Sue Mullen in 2002 who join Mission under the terms of the deal as do the acquired company’s 30 employees.

Mission is based in London and has 10 offices around the UK with more than 550 staff. Its businesses include Bray Leino, Big Communications and Fuse Digital. Last year it made a £2.2 million pre-tax profit from a £37.4 million turnover.

Edinburgh-based Story is a direct response, digital marketing and communications agency. Its clients include Scottish and Newcastle, Ulster Bank, M&S Money and Scottish and Southern Energy.

Story’s audited accounts for the year to April 2007 recorded a pre-tax profit of £600,000 from a £4.5 million turnover.

Comments [0]