Business
Acquisition of Betches Media
Acquisition of Betches Media.
About this update from Lbg Media Plc
[{"type":"text","content":"\n\nThis announcement contains inside information for the purposes of Article 7 of the Market Abuse Regulation (EU) 596/2014 as it forms part of UK domestic law, by virtue of the European Union (Withdrawal) Act 2018 - for immediate release. \n \n \n18 October 2023\n \nLBG Media plc\n \n(\"LBG Media\", or the \"Group\")\n \nAcquisition of Betches Media, LLC\n \nStep-change acquisition significantly accelerates growth and presence in the key US market\n \nLBG Media, the owner of the global leader in youth publishing LADbible Group, is pleased to announce the acquisition of Betches Media, LLC (\"Betches\", or the \"Acquisition\") a US-based media brand founded by women and focussed on digital media content production and publication for women. The Acquisition is for an initial cash consideration of $24 million, funded from existing cash resources, with up to a further $30 million cash consideration payable in instalments, subject to Betches achieving certain revenue and profitability targets to 2026.\n \nAcquisition highlights:\n· Acquisition of a complementary, high growth US digital publisher with a focus on millennial and Gen Z women.\n· Step-change addition to the Group, in line with stated M&A ambitions, materially expanding its reach and footprint in the US, the world's largest advertising market.\n· Significant additional revenue and Adjusted EBITDA contribution. Funded through existing cash reserves, the Acquisition will be highly accretive.\n· Major new brands added to the portfolio, new capabilities unlocked and improved revenue diversification.\n· Expansion of both LBG Media's existing 100 million US following as well as its overall audience of women.\n· Clear potential for cross-selling opportunities.\n \nAbout Betches\nEstablished in New York in 2011 by three female co-founders, who are all remaining with the business post-Acquisition, Betches is a high growth, cash-generative, and profitable business, where 92% of revenue is Direct and derived primarily from long-term recurring partnerships with blue-chip brands. With approximately 32 million followers1, Betches has a highly engaged follo...