Acquisition of Vix Verify Global

RNS Number : 7240E

GB Group PLC

22 October 2018

 

RNS ANNOUNCEMENT

22 October 2018

GB GROUP PLC

("GBG" or the "Group")

Acquisition of Vix Verify Global

GBG (AIM:GBG), the global identity data intelligence specialist, is pleased to announce that it has acquired 100% of Vix Verify Global Pty Limited and selected subsidiaries and assets ("VVG"). VVG is an Australian provider of identity verification and location intelligence software (the "Acquisition").

The acquisition of VVG brings additional scale to GBG's identity verification and location intelligence solutions in Australia and New Zealand, two markets where GBG currently provides fraud detection solutions to customers.

The consideration consists of A$38.3 million (approximately £21.2 million) in cash. The Acquisition is financed from Group facilities.

Acquisition highlights

§ VVG operates a similar business model to GBG and provides its blue-chip customer base with identity and location intelligence solutions which will complement GBG's leading IDV and Loqate solutions.

§ The acquisition of VVG enhances GBG's value propositions, providing additional access to domestic and international datasets, benefiting both GBG and VVG customers.

§ VVG has a trusted and experienced management team which adds further talent and expertise to GBG.

§ VVG ended the year to 30 June 2018 with net revenues and profit before tax of A$21.9 million and A$0.8 million respectively. VVG had net assets of A$0.1 million.

§ With synergies, the transaction is expected to be earnings accretive in the first 12 months of consolidated GBG ownership.

The Acquisition has been completed as part of this announcement.

The subsidiaries and assets of Vix Verify Global Pty Limited which are not being acquired are considered non-core.

Chris Clark, GBG's CEO, commented,

"I am delighted to announce the acquisition of Vix Verify Global. Its established track record of providing identity and location verification solutions will support our growing business in Australia and New Zealand.

"There are clear growth opportunities between GBG and VVG and this acquisition is a logical step in our strategy to expand internationally, extend the services we offer existing customers and increase our share in existing markets.

GBG customers already benefit from our fraud detection solutions across the Asia Pacific region. We look forward to broadening our customer conversations to include our combined solutions in identity verification and location intelligence."

This announcement contains inside information for the purposes of Article 7 of Regulation (EU) No 596/2014 ("MAR"). Upon the publication of this announcement, this inside information is now considered to be in the public domain.

For the purposes of MAR and Article 2 of Commission Implementing Regulation (EU) 2016/1055, this announcement is being made on behalf of GBG by John Constantin, Company Secretary of GBG.

For further information, please contact:

GB Group PLC Chris Clark, Chief Executive Officer Dave Wilson, Group Finance and Operations Director John Constantin, Company Secretary	01244 657333
Peel Hunt LLP (Nominated Adviser and Broker) Edward Knight Nick Prowting	020 7418 8900
Headland Consultancy Andy Rivett-Carnac Chloe Francklin Charlie Twigg	020 3805 4822
Website	www.gbgplc.com

About GBG

GBG offers a series of solutions that help organisations quickly validate and verify the identity and location of their customers.

Our products are built on an unparalleled breadth of data obtained from over 200 global partners. Our innovative technology leads the world in location intelligence, detects fraud and enables us to verify the identity of 4.4 billion people globally.

GBG is headquartered in the UK, with over 800 team members across 18 countries. We work with clients in 79 countries, including some of the best-known businesses around the world, ranging from US e-commerce giants to Asia's biggest banks and European household brands.

Find out more about how we help our clients establish trust with their customers at www.gbgplc.com, by following us on Twitter @gbgplc and reading our newsroom: www.gbgplc.com/newsroom.

About VVG

Vix Verify Global encompasses a number of leading brands in the identity and location intelligence software space including greenID and Mastersoft Harmony. Vix Verify Global helps customers in Australia and New Zealand validate the identity of customers, confirm addresses and enable trust.

To find out more visit: https://www.vixverify.com.

 

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