Events and publishing group Ascential PLC (LON:ASCL) confirmed on Wednesday it has completed the US$119mln acquisition of Irish ecommerce analytics group Clavis Insight.
Depending on performance over the coming years, that figure may rise to as much as US$219mln.
Big-name customers
Clavis’ technology allows companies to track and optimise the performance of their products across hundreds of retailer websites and mobile commerce sites and the Dublin-based firm counts many of the world’s largest companies as customers, including Nestle, Unilever and L’Oreal.
It will now join Ascential’s information services division with a view to linking up with its One Click Retail system.
READ: Ascential profits rise in first full year results since IPO
In a stock market statement on Wednesday, FTSE 250-listed Ascential said Clavis is “growing rapidly” with the company generating revenues of US$13mln in the year to 31 December 2016, most of which are recurring.
Turnover is expected to rise to US$17mln this year, while the business should break even in 2018 (underlying loss of US$7mln in 2016).
Ascential added that Clavis - founded back in 2008 - is forecast to be enhancing to earnings per share in the second full year of ownership.
Synergies
“Ascential enables its customers to improve their business performance,” said chief executive Duncan Painter.
“As a high growth business that offers synergies with our existing brands, Clavis fits well with our strategy, strengthening our eCommerce analytics offering for consumer product companies.
“Through combination with OCR's offering, we will provide ever more comprehensive, accurate and actionable analytics and insight.”
Ascential, which joined the London Stock Market in an £800mln flotation last year, owns a number of events and information businesses, while it also publishes a number of magazines including Retail Week.
Ascential shares jumped 1.7% to 374.3p on Wednesday.