Digital Marketing Group PLC
26 October 2006
26 October 2006
Digital Marketing Group plc
First day of Dealings - Admission to AIM and
Acquisition of HSM Limited and Scope Creative Marketing Limited
Market Capitalisation of approximately £20m
Further to the announcement by Seashell II Limited ('Seashell II') of its merger
with Digital Marketing Group plc ('DMG') on 23 October 2006, the Directors of
DMG, the newly formed digital direct marketing company, are pleased to announce
that the acquisitions of both HSM Limited and Scope Creative Marketing Limited
(trading as Dig For Fire) have been completed. Consequently, trading in DMG on
AIM commenced at 8.00am today.
Highlights:
* Specialist focus on digital direct marketing
* Initial acquisitions completed
* Strategic plan for integration of acquisitions, organic growth and further
acquisitions in place
* £7.8m raised for initial acquisitions, working capital and capital for
further acquisitions
* Experienced management team and board with exceptional media and marketing
services industry experience
Commenting on the admission and completion of acquisitions, Ben Langdon, Chief
Executive of DMG said:
'We are delighted to have successfully completed our Admission to AIM as well as
the two initial acquisitions of HSM and Scope Creative Marketing. This is an
exciting time in DMG's development and our listing on AIM will provide an
exceptional platform for the future growth of the Company, via organic growth
and further targeted acquisitions. Opportunities in the digital space are
significant as advertisers continue to shift their spend towards 'online' direct
marketing and we look forward to capturing these opportunities.'
Enquiries:
Smithfield Consultants Tel: 020 7360 4900
Noemie de Andia / Libby Young
The AIM ticker is DIGI.
Further information:
DMG aims to provide its clients and the clients of each of the Acquired
Businesses with a range of digital direct marketing services, coupled with
database marketing skills. By doing this, DMG believes it can offer clients the
ability to coordinate both their ''online'' and ''offline'' direct marketing
strategy and concurrently offer the skills necessary to input, collect, analyse
and apply customer data in order to generate more effective digital direct
marketing, higher brand-consumer loyalty and improved client profitability.
Strategy
DMG's development strategy will consist of two key elements:
* ''buy and build'' through the acquisition of a number of businesses with
complementary skills in digital direct marketing; and
* ''organic growth'' driven by the inherent growth within the Acquired
Businesses and the application of a group business development programme.
Buy and build
The acquisition strategy encompasses three elements:
* completion of the Acquisitions, which have activities in ''online''
marketing, ''offline'' direct marketing and database marketing and which the
Directors and Proposed Directors consider to be cornerstone acquisitions for
the Enlarged Group (i.e. providing it with a platform to pursue its
objectives);
* addition of further companies in digital marketing, digital media and
emerging technologies such as mobile marketing and search optimisation; and
* addition of sector-specific agencies where the opportunity for digital
direct marketing is believed to be significant for example the
business-to-business sector and the media and entertainment sector.
Organic growth
* In addition to the anticipated growth in the acquired businesses, DMG will
implement a marketing and new business development programme to directly
target clients who already use digital, direct or database marketing as part
of their existing marketing efforts.
* DMG will also implement a rigorous cross referral programme for new
business across the existing client base.
This information is provided by RNS
The company news service from the London Stock Exchange
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