12th Oct 2015 10:52
LONDON (Alliance News) - Mithril Capital PLC on Monday said it has conditionally agreed to buy digital media and analytics agency Agenda 21 Digital Holding Ltd for an initial GBP3.3 million payment.
It will pay 65% of that in cash, with the remaining 35% in shares. The acquisition will only go through if Mithril is able to raise funds by selling new shares in the company, and if its shares can be moved to trading on AIM from the Main Market.
A further amount of up to GBP8.6 million could be paid over the next three years, depending on the acquired's company's performance.
The enlarged group will be chaired by Peter Scott, previously of The Engine Group and Aegis Group PLC. It will focus on building a digital-centric network of specialist companies operating in the marketing services, technology and e-commerce sectors. Scott is to act in an executive capacity.
The acquisition is considered to be a reverse takeover under stock exchange rules.
The acquisition is expected to complete on November 13. Shares have been suspended in the meantime.
Shares last traded at 3.50 pence.
By Samuel Agini; [email protected]; @samuelagini
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