Link Mobility Group ASA has entered into agreement to acquire Cool Group ApS, one of Denmark’s largest suppliers of B2B mobile communication.
Link Mobility Group ASA (LINK) is to acquire all shares in Cool Group ApS with subsidiaries (Cool Croup) from Sundahl ApS. Cool Group ApS owns 100 per cent of the subsidiaries CoolSMS A/S, CoolTEL ApS and CoolSystems ApS.
Cool Group is one of Denmark’s largest B2B suppliers of mobile communication based on SMS. In addition of being a leading SMS aggregator, the Cool Group has due to its operator status, the ability to transmit SMS traffic directly into other Danish operator networks. This gives a unique position in the market, from a financial view due to regulatory rights, but also by being able to give the customers the highest delivery reliability.
Cool Group has during the last years experienced solid growth in terms of both revenue and profits. In 2014 Cool Group reported revenue of MDKK 41,4 and EBITDA of MDKK 12,6.
Cool Group’s headquarter is in Kolding, Denmark. The companies of the Cool Group have a total of 11 employees. The founder of Cool Group and owner of Sundahl ApS, Søren Aarselv Sundahl, will take up the position as COO of LINK.
LINK is Norway’s largest provider of B2B mobile service, and has substantial business in Sweden and in the Baltics. Through the acquisition of Cool Group, LINK will be the largest provider of mobile B2B messaging in the Scandinavian and Baltic markets, and will be well positioned for further expansions in the fast growing European market for mobile services including mobile messaging, mobile payment and mobile search.
By combining LINK’s and Cool Group’s wide range of mobile services, operational resources, technology, business models and skilled employees, LINK will be able to become the complete provider of mobile solutions for it’s more than 6.000 business, NGO and public service customers.
The enterprise value is MDKK 75 on a cash and debt free basis, and will be settled as follows:
• 1/3 paid at closing
• 1/3 in shares in Link Mobility Group ASA. The shares will be issued through a private placement towards the seller of Cool Group, Sundahl ApS. The price per shares is set to NOK 29,90, the closing value at Oslo Stock Exchange 29 May 2015.
• 1/3 in seller’s credit to be paid 36 months after closing. The seller’s credit will bear an interest of 5 percent p.a., that is to be calculated and paid monthly
The transaction is subject to approval of the Board of Directors of LINK and of Sundahl ApS.
The transaction is expected to close on 30 June 2015.
LINK is at present having a share incentive program for its employees with subscription period ending 15 June 2015 (referring to announcements 11 May 2015 and 22 May 2015). Employees that already have submitted their subscription forms, will have the possibility to cancel or alter their subscriptions until the end of the subscription period.
For further information, please contact:
CFO Siw Ødegaard
Link Mobility Group ASA
Mob: +47 95 75 98 48