Live
- India Faces Blow as Pacer Mohammed Shami Ruled Out for Remainder of Australia Series
- Biden Pardon: Joe Biden Commutes Death Sentences of 37 Inmates, Including Child Killers and Mass Murderers
- South Korea: Yoon believes impeachment trial takes priority over martial law probe
- Strict Action for Non-Adherence to Time Management - DMHO Dr. Swarajya Lakshmi
- Over 13.29 lakh houses approved for rural poor in Maharashtra: Shivraj Chouhan
- District Collector Urges Timely Completion of Indiramma Housing Scheme Survey
- Digital Arrest Scam: Hyderabad Man Duped of ₹7 Lakhs by Fake Crime Branch Police Callers
- Sukhbir Badal seeks President's Police medal for officer who saved his life
- US Firm Accordion Acquires Merilytics, Launches 1,500-Seater Office in Hyderabad
- Free Medical Camp Organized by Alampur Advocate Bar Association
Brightcom to buy US-based audio firm for $102 mn
Brightcom to buy US-based audio firm for $102 mn
City-based Brightcom Group has announced the signing of a Letter of Intent (LOI) to acquire all the assets of a US-based digital audio firm that owns and operates multiple assets for a total consideration of $102.5 million. Brightcom has not revealed name of the acquisition target.
Hyderabad: City-based Brightcom Group has announced the signing of a Letter of Intent (LOI) to acquire all the assets of a US-based digital audio firm that owns and operates multiple assets for a total consideration of $102.5 million. Brightcom has not revealed name of the acquisition target.
The company is an integrated digital platform offering several programmed radio stations, various digital brands and digital marketing services in several markets in the US.
Following the acquisition, the EPS will increase as a result of the addition of $45 million to the topline revenue of Brightcom, and $15 million to its EBIDTA. The synergies between the current Brightcom business and new assets will add to the above numbers. The assets' acquisition value, including its net cash, is pegged at $102.5 million consisting of $95 million in cash and $7.5 million of BCG stock. The deal is subject to customary financial, legal and business diligence, as well as regulatory approvals, thereafter.
"We are excited to bring these super successful audio assets into our fold, which will open up new opportunities and growth in line with the overall vision of the company", said Satish Cheeti, President of Brightcom Audio. The advisors to the deal are Houlihan Lokey on the transaction side and Lerman Senter on the legal side. This move will mark the significant entry of the Brightcom Group into this fast-growing digital audio advertising segment. Digital audio advertising includes all ad revenue generated through pre and in-stream audio ads that appear in music (music also contains various radio services) and podcast streaming services. This revenue would include ad-supported free versions of premium subscription services or services funded by advertising.
With already 200 million active consumers of digital audio in the US, audio is considered the second most popular digital activity. The worldwide user count is rapidly growing and is expected to go past 1.5 billion by 2026.
The company is an integrated digital platform offering several programmed radio stations, various digital brands and digital marketing services operating in many markets. In addition to being on the Google premier partners list and Microsoft Elite partners list, the target company also runs Ads from Facebook.
"With this acquisition, Brightcom Group will be one of the very few companies globally to provide a holistic and wide range of advertising solutions, including audio", said Peshwa Acharya, President (Group Strategy), Brightcom Group.
