LONDON, UK: MISSION Group plc (AIM: TMG) introduced the acquisition of Influence Sports & Media, by its Agency Mongoose, for an preliminary consideration of £1.5 million.
Headquartered in London and with a strong presence within the US, Influence Sports & Media works with sponsors and brands, rights holders, investors and industry Clients to ship marketing communications strategies, commercial programs, and actionable market intelligence.
The team has extensive and long-standing relationships with main gamers in global sport, together with Rolex, Mercedes F1, Aramco, Alpine F1, the thirty seventh America’s Cup and World Sailing.
In the monetary year ended 31 October 2021, Influence reported a gross revenue of £1.0 million, pre-tax profits of £0.3 million and, as at 31 October 2021, had net assets of £1,000.
The Acquisition marks the newest step in Mongoose’s plans to strengthen and scale its social media and marketing capabilities throughout the sports activities and leisure markets. The Board expects the acquisition to be earnings enhancing with immediate effect.
Under the phrases of the acquisition agreement, deferred consideration is payable, contingent on Influence’s monetary efficiency in 2023, 2024 and 2025.
The contingent consideration is to be satisfied by the issue of new ordinary shares (up to a most of 40% at MISSION’s discretion) with the balance payable in cash. The money element is anticipated to be mostly funded from future cash-flows generated by the enlarged Mongoose Group.
To obtain the utmost total consideration (Initial Consideration plus Contingent Consideration) of £8.0 million, Influence’s compound EBITDA growth is required to be 47% and it would want to obtain cumulative EBITDA of £4.8 million within the three years ending 31 December 2025.
Talking of the acquisition, Alistair Watkins, Founder & CEO of Influence Sports & Media, said: “Over the final 10 years we have continued to construct our presence in sport, delivering best-in-class services for main global brands, groups and properties.
Formula 1 and the America’s Cup are each key pillars of the agency, and it’s a hugely thrilling time as each properties are seeing exponential growth and curiosity throughout the world. We are delighted to be becoming a member of The MISSION Group plc and the newly formed Mongoose Group to drive worldwide alternatives and offer a greater breadth of services for all our clients.”
Commenting, James Clifton, Chief Executive Officer of MISSION said: “In difficult times, MISSION continues to make good progress against our strategic priorities. Our newest funding in our main entertainment, sports, lifestyle and Marketing company Mongoose Group, through the acquisition of Influence Sports & Media, is but one other instance of our dedication to developing our capabilities and Client servicing offering, ensuring the Group is well positioned for long-term growth.”