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Matomy Media Group (MTMY)

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Monday 08 May, 2017

Matomy Media Group

Matomy Announces New Strategic Focus

RNS Number : 4454E
Matomy Media Group Ltd
08 May 2017
 

MATOMY ANNOUNCES NEW STRATEGIC FOCUS

 

Matomy to focus on core mobile and video advertising and domain monetization, substantially reducing and streamlining operational costs.

LONDON and TEL AVIV, MAY 8,2017 - Following the strategic review Matomy Media Group Ltd. ("Matomy") (LSE: MTMY;TASE: MTMY.TA) announced on 18 October 2016, Matomy is now undertaking a significant strategic restructuring to focus on those of its activities with the highest potential for sustainable growth and profitability. As a result, Matomy will focus its resources on programmatic mobile and video advertising and domain monetization.  Matomy will be exiting a broad range of other activities that are no longer core to Matomy's long-term strategy.

Matomy's focus on core activities will achieve the following goals:

(i)           Concentrate resources on long term strategic activities to ensure long term technology leadership and sustainable growth  

(ii)          Major positive impact on profitability and cash generation

(iii)         Continued increase in the quality and sustainability of revenues

(iv)         Significantly improve cost structure with lower fixed and variable cost and overhead

Matomy is planning to complete the exit from most non-core businesses before the end of the third quarter. Matomy also expects to incur certain one-off redundancy and short-term operational costs related to the restructuring, though Matomy does not expect those to be material in the aggregate. The restructuring is expected to result in a materially leaner and more flexible cost structure, thus having an immediate impact on overall profitability and operational cash generation. These measures, are expected to reduce operational costs on a run rate basis in excess of $10 million per annum.

CEO Sagi Niri commented, "Matomy must remain nimble and evolve rapidly in response to the changes in our industry.  With laser-sharp focus, we are fortifying our strengths, generating most of revenues through our own proprietary technological platforms. This is a difficult but strategically and fiscally necessary step towards ensuring Matomy's leadership position in the market. We expect that this will have a significant and immediate positive effect on our profitability."

 

Non-Executive Chairman of the Board Harel Beit-On commented, "Scrutinizing an organization and implementing fundamental changes is painful but necessary.  Matomy must focus on areas of high demand, and exploit its proprietary technologies that generate the best products, results and, ultimately, profit. We expect this restructuring to result in long-term benefits and growth for Matomy."

 

About Matomy

 

Matomy Media Group Ltd. (LSE: MTMY, TASE: MTMY.TA) is global media company with smarter technology and a personalized approach to advertising. By providing customized performance and programmatic solutions supported by internal media capabilities, big data analytics, and optimization technology, Matomy empowers advertising and media partners to meet their evolving growth-driven goals. Matomy's programmatic platforms include MobFox for mobile, Optimatic for video, Team Internet for domain monetization, and the mobile, self-serve demand-side platform myDSP. Founded in 2007 with headquarters in Tel Aviv and 11 offices around the world, Matomy is dual-listed on the London and Tel Aviv Stock Exchanges. Learn more about Matomy at http://www.matomy.com.

For more information:

Facebook: www.facebook.com/MatomyMediaGroup

Follow Matomy on Twitter: @MatomyGroup

LinkedIn: www.linkedin.com/company/matomy-media-group

 

Press Contact Information:

Justine Rosin

[email protected]

UK: 0203-769-5656|USA:917-724-2176

 

 


This information is provided by RNS
The company news service from the London Stock Exchange
 
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