Brief: Unifiedpost Acquires Crossinx

Banqup SA

12/04/2021 06:28

April 12 (Reuters) - UNIFIEDPOST GROUP SA  UPG.BR :
    * UNIFIEDPOST GROUP AND CROSSINX JOIN FORCES TO CREATE A
UNIQUE
EUROPEAN BUSINESS NETWORK
    * TRANSACTION IS A +50% SHARE DEAL
    * IN THIS TRANSACTION, CROSSINX IS VALUED AT 9.8 TIMES THE
PROJECTED 2021 CONSOLIDATED REVENUE, REPRESENTING AN UPFRONT
ENTERPRISE VALUE OF €100 MILLION, INCREASED WITH A CONDITIONAL
EARN-OUT PAYMENT OF €13 MILLION
    * INITIAL UPFRONT ENTERPRISE VALUE OF OF EUR 100 MILLION,
ADJUSTED
FOR NET FINANCIAL POSITION AND OTHER ITEMS, WAS SETTLED WITH 50%
CASH AND 50% NEWLY ISSUED UNIFIEDPOST SHARES VALUED AT EUR 20
PER SHARE
    * PARTIES HAVE AGREED ON 3 EARN-OUT PAYMENTS DEPENDING ON
CROSSINX
CONSOLIDATED ORGANIC RESULTS FOR FISCAL YEARS 2021, 2022 AND
2023 RESPECTIVELY
    * ASSUMING MAXIMUM EARN-OUT PAYMENTS, CROSSINX IS VALUED AT
EUR
160 MILLION, OF WHICH EUR 90 MILLION PAYABLE IN UNIFIEDPOST
SHARES
    * WITH ACQUISITION OF CROSSINX, UNIFIEDPOST CAN ADDITIONALLY
GIVE
GUIDANCE THAT AS FROM 2023 ANNUAL ORGANIC GROWTH BASED ON PRO
FORMA DIGITAL PROCESSING RECURRING SERVICES REVENUE (WHICH WILL
INCLUDE FULL CONSOLIDATED REVENUE OF CROSSINX) WILL BE AT LEAST
30% BY 2023
    * CONFIRMS GUIDANCE IT HAS GIVEN WHICH STATED THAT IT WILL
HAVE AN
ANNUAL ORGANIC GROWTH BASED ON PRO FORMA DIGITAL PROCESSING
RECURRING SERVICES REVENUE OF AT LEAST 25% BY 2022 AND A
NORMALISED EBITDA OF ALSO AT LEAST 25% BY 2023, WITH A GROSS
MARGIN OF AT LEAST 60% IN SAME YEAR
    * UNIFIEDPOST AIMS TO REINFORCE DIGITAL PROCESSING SERVICES
REVENUE WITH POST AND PARCEL OPTIMISATION SERVICES REVENUE,
WHICH WAS OBTAINED IN LATEST ACQUISITION OF 21 GRAMS AT END OF
2020

Source text for Eikon:  ID:nBw7xW9t2a 
Further company coverage:  UPG.BR 

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