CLX Communications AB (publ): CLX acquires Dialogue Group Ltd.
(Thomson Reuters ONE) -
* significantly adding geographical reach, network expansion, and key security
software assets.
Stockholm, Sweden - CLX Communications AB (publ.) - XSTO:CLX
CLX Communications AB (Publ) ("CLX") - a leading global provider of cloud-based
communications services, announces that it has acquired Dialogue Group Ltd.
("Dialogue"), a global provider of mobile messaging and security services.
"Our vision is clear; we are building the world's leading CPaaS company. The
acquisition of Dialogue is the next natural step in executing on the strategy we
outlined at our IPO in October 2015," said Johan Hedberg, President, and CEO of
CLX Communications.
Founded in 1994, Dialogue is one of the leading global mobile messaging and
secure communications companies, with a particularly strong Tier 1 network in
the Asia-Pacific Region. Through the acquisition, CLX will strengthen its
customer base in the UK and Australia and add Tier 1 operator connections in New
Zealand, Singapore, Malaysia, Bangladesh, Vietnam, Cambodia, Japan, Philippines,
Indonesia, and Egypt.
The acquisition will also add Dialogue's Sentinel Security Solution, a powerful
and innovative software solution for mobile operators, to CLX's existing product
portfolio. The Sentinel product will further strengthen CLX's position as a
supplier of fraud and security solutions to mobile operators worldwide. The
solution may significantly reduce industry fraud such as global title faking and
help operators capture significant revenues that might otherwise be lost.
Sentinel, in combination with CLX's existing security solutions, will constitute
one of the most powerful threat detection and prevention toolboxes in the
industry today.
Background and rationale for the acquisition of Dialogue Group Ltd.
The market for enterprise cloud-based communications - those between a company's
business-critical applications and its customers or things - is growing rapidly,
whether it be text messaging, voice- or video based solutions or the Internet of
Things (IOT).
The acquisition of Dialogue will bring a number of benefits:
* Speed up CLX's market entry into key Asia-Pacific countries such as New
Zealand, Singapore, Malaysia, Bangladesh, Vietnam, Cambodia, Japan,
Philippines, and Indonesia.
* Further expand CLX's Tier One Super Network by adding a number of mobile
operators in predominantly the Asia-Pacific region.
* Add innovative security products and functionality to the CLX product
portfolio offered to the company's mobile operator customer base and Tier 1
operator partners.
* Expected to yield net synergies of approximately GBP 1 million compared to
Dialogue's rolling 12-month profit.
The acquisition of Dialogue will be CLX's fourth acquisition since the IPO in
2015. Mblox, acquired in 2016, gave CLX a strong position in the US and has
yielded significant cost and revenue synergies. Sinch, also acquired in 2016,
added leading-edge capabilities in voice and video communications. The
acquisition of Xura Secure Communications earlier this year provides CLX with a
strong position in Germany, Austria and Switzerland.
Information about Dialogue Group Ltd
Dialogue is one of the leading SMS messaging and security product provider
based in Sheffield, UK. The company has a total of 49 employees based in
London, Sydney and Singapore. In addition to delivering messaging solutions to
Enterprises, Dialogue provides A2P SMS monetization software and services to
many Mobile Network Operators primarily in the Asia-Pacific Region, but also
around the world. Dialogue processes roughly 1.7 Billion messages annually
across more than 10 countries.
In Dialogue's Financial Year 2016 (ended July 30, 2016) revenues were GBP 32
million, gross profit was GBP 7.9 million and EBITDA was GBP 2.8 million,
equivalent to an EBITDA margin of 8.8 percent.
In the twelve-month period ended February 2017 revenues were GBP 36.7 million,
gross profit was GBP 11.5 and reported EBITDA was GBP 5.2 million, equivalent to
an EBITDA margin of 14.2 percent.
Price, financing and timetable
* CLX is acquiring Dialogue Group Ltd. at a price of GBP 32 million on a cash-
and debt free basis.
* The purchase price is equivalent to 6.1 x EBITDA, based on EBITDA for the
twelwe month period ending February 2017. Net synergies of approximately GBP
1 million are expected for the coming 12 - 18 months.
* The purchase price is being paid in cash and CLX has secured financing
through a credit facility provided by Svenska Handelsbanken and Danske Bank.
* Integration work will start immediately. It is expected to take 12 - 18
months and is targeted to be completed by fall of 2018.
For further information, please contact:
Thomas Ahlerup
Chief Investor Relations Officer
CLX Communications AB (publ.)
Mobile +46-768-966300
E-mail thomas.ahlerup(at)clxcommunications.com
About CLX Communications
CLX Communications (CLX) is a leading global provider of cloud-based
communication services and solutions to enterprises and mobile operators. CLX's
mobile communication services enable companies to quickly, securely and cost-
effectively communicate globally with customers and connected devices - Internet
of Things (IoT). CLX's solutions enable business-critical communications
worldwide via mobile messaging services (SMS), voice services and mobile
connectivity services for the IoT. CLX has grown profitably since the company
was founded. The Group is headquartered in Stockholm, Sweden, and
has presence in a further 20 countries.
CLX Communications' shares are traded at NASDAQ Stockholm - XSTO:CLX.
To learn more please visit: www.clxcommunications.com
About Dialogue
Dialogue Group is the longest established international A2P SMS messaging
company having helped customers since 1994. It has extensive knowledge and
experience of all aspects of the A2P market and through its A2P SMART Hub - a
unique solution that helps operators filter and control their A2P traffic - the
company enables MNOs to successfully monetize their A2P traffic and realize
sustainable revenues. Currently, Dialogue Group works with over 50 of the
world's leading mobile networks in fourteen markets including countries such as
Japan, Cambodia, Bangladesh, Egypt, Ireland, the UK, Australia and New Zealand.
Dialogue Group is a member of GSMA which represents the interests of mobile
operators worldwide. Headquartered in London. The company has offices in
Sheffield, Sydney and Singapore.
For more information visit www.dialogue.net.
Important information
This communication may contain certain forward-looking statements. Such
statements are all statements that do not relate to historical facts and include
expressions such as "believe", "estimate", "anticipate", "expect", "assume",
"predict", "intend", "may", "presuppose", "should" or similar. The forward-
looking statements in this release are based on various estimates and
assumptions that in several cases are based on additional assumptions. Although
CLX believes these assumptions were reasonable when made, such forward-looking
statements are subject to known and unknown risks, uncertainties and other
important factors that are difficult or impossible to predict and that are
beyond CLX's control. Such risks, uncertainties and important factors could
cause the actual results to differ materially from the results expressly or
implicitly indicated in this communication through the forward-looking
statements. The information, perceptions and the forward-looking statements in
this release apply only as of the date of this release and may change without
notice.
Every care has been taken in the translation of this press release. In the event
of discrepancies, however, the Swedish original will supersede the English
translation. This information is information that CLX Communications AB (publ)
is obliged to make public pursuant to the EU market abuse regulation and was
submitted for publication under the auspices of the above contact on 10 May
2017 at 16:10 CET.
170510 CLX acquire Dialogue_ENG_FINAL:
http://hugin.info/173289/R/2103336/797956.pdf
This announcement is distributed by Nasdaq Corporate Solutions on behalf of Nasdaq Corporate Solutions clients.
The issuer of this announcement warrants that they are solely responsible for the content, accuracy and originality of the information contained therein.
Source: CLX Communications AB (publ) via GlobeNewswire
Unternehmensinformation / Kurzprofil:
Datum: 10.05.2017 - 16:05 Uhr
Sprache: Deutsch
News-ID 541629
Anzahl Zeichen: 9597
contact information:
Town:
Kista
Kategorie:
Business News
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