Mood Media Corporation moves to seize visual opportunity with BIS acquisition
Leading in-store media provider Mood Media Corporation (TSX:MM/ LSE AIM:MM) ("Mood"), today announced the acquisition of BIS Group ("BIS")1, a leading provider of audio-visual services in Europe, for consideration of €22.5 M in cash.
BIS is a leader in corporate and commercial audio-visual installation in the Benelux region (Belgium, Netherlands, Luxembourg). In the year ended December 31, 2011, BIS recorded revenue of €46.1 M and Profit Before Tax of €2.6 M.
Lorne Abony, CEO & Chairman of Mood Media Corporation, commented: "We are excited about the BIS acquisition for a number of reasons. Firstly, the acquisition's merits on a stand-alone basis are compelling; Mood is acquiring a well-established business with a strong market position at an attractive value.
Most critically, however, we believe that BIS's sophisticated and comprehensive installation capabilities will enable Mood to better capitalize on its
tremendous visual market opportunity and grow its visual recurring revenue base more efficiently.
The acquisition is in lock-step with Mood's growth strategy of driving organic sales growth by enabling the enlarged group to offer an expanded range of products and services. The integration of BIS with Mood also offers further opportunities to centralize and realize scale economies from the combined organization.
The BIS acquisition further extends Mood's leadership in Europe, and we look forward to accelerating our growth by leveraging the strengths of the combined organization."
About Mood Media Corporation Mood Media Corporation (TSX:MM/ LSE AIM:MM), named Canada's fastest growing company by PROFIT Magazine is a leading in-store media specialist that helps its clients communicate with consumers with a view to driving incremental sales at the point-of-purchase.
Mood Media Corporation works with 580,000 commercial locations in over 40 countries throughout North America, Europe, Asia and Australia.
Through its subsidiaries, Mood Media Corporation's products and services reach 100 million people every day in a broad client base including more than 850 U.S. and international brands in diverse market sectors that include: retail, from fashion to financial services; hospitality, from hotels to health spas; and food retail, including restaurants, bars, quick-serve and fast casual dining.
For further information about Mood Media, please visit www.moodmedia.com.
Cautionary Statement Regarding Forward-Looking Statements This press release contains forward-looking statements. The words "believe", "expect", "anticipate", "estimate", "intend", "may", "will", "would" and similar expressions and the negative of such expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. These forward-looking statements are subject to important assumptions. While Mood Media considers these factors and assumptions to be reasonable based on information currently available, they may prove to be incorrect.
Known and unknown factors could cause actual results to differ materially from those projected in the forward-looking statements. Such factors include, but are not limited to: the impact of general market, industry, credit and economic conditions, currency fluctuations as well as the risk factors identified in Mood Media's management discussion and analysis dated March 11, 2012 and Mood
Media's annual information form dated March 30, 2012, both of which are available on www.sedar.com.
Given these uncertainties, readers are cautioned not to place undue reliance on such forward-looking statements. All of the forward-looking statements made in this press release are qualified by these cautionary statements and other cautionary statements or factors contained herein, and there can be no assurance that the actual results or developments will be realized or, even if
substantially realized, that they will have the expected consequences to, or effects on, Mood Media.
Forward-looking statements are given only as at the date hereof and Mood Media disclaims any obligation to update or revise the forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable laws.
Mood Media Corporation presents EBITDA information as a supplemental figure because management believes it provides useful information regarding operating performance. EBITDA is not a recognized measure under International Financial Reporting Standards ("IFRS"), does not have standardized meaning, and is unlikely to be comparable to similar measures used by other companies.
Accordingly, investors are cautioned that EBITDA should not be construed as an alternative to net earnings or (loss) determined in accordance with IFRS as an indicator of the financial performance of Mood Media or as a measure of Mood Media's liquidity and cash flows.