|
M&C Saatchi PLC on Monday said it had rejected an ‘unsolicited approach’ for its Performance division from Brave Bison PLC. Responding to reports, the London-based advertising and communications agency said the offer ‘fundamentally undervalues’ the division and does not reflect its future prospects. London-based marketing technology firm Brave Bison said the offer for M&C Saatchi Performance was worth an enterprise value of £50 million. Brave Bison had intended to combine M&C Saatchi Performance with its existing performance marketing operations, forming one of the largest independent performance marketing companies outside the US. But M&C Saatchi stressed the division forms a ‘core element’ of the company’s growth plans, and as such, no discussions are ongoing. M&C Saatchi Performance is a global performance marketing business, headquartered in Singapore. Shares in M&C Saatchi were up 4.3% at 141.80 pence each in London on Monday morning. Brave Bison was down 0.7% at 80.40p. Brave Bison said completion of the deal was expected to be ‘materially accretive’ to underlying earnings per share on a pro-forma basis. It would be expected to contribute a minimum of £8 million in adjusted earnings before interest, tax, depreciation and amortisation increasing the enlarged Brave Bison pro-forma adjusted Ebitda by over 80% to £17 million. In 2024, Brave Bison reported adjusted Ebitda of £4.5 million. Brave Bison said the prospective deal would be funded via a new bank facility of up to £25 million, and a placing of new shares. Copyright 2025 Alliance News Ltd. All Rights Reserved.
|
