Eagle Eye Group acquires 2ergo mobile coupon service in £4.5m deal

2ergo, the mobile coupon business, has been acquired by Eagle Eye Solutions group in a deal worth £4.5m.

The acquisition will see 2ergo Group receive £2.5m in cash and will be issued £2m, around 6 per cent, in Eagle Eye Solutions stock once it floats on AIM from around 17 April.

The deal is the result of fundraising worth £3.1m last year from shareholders in an effort to allow Eagle Eye to commercialise its podifi technology.

Ian Smith, executive chairman of 2ergo Group, said: "The management team has worked incredibly hard to continue to prove the value of the technology the Company has created. The Board remains confident that the podifi technology has the ability to be a leading architect of change in the digital coupon and loyalty arena. However, sales traction has continued to be slow and we cannot give our shareholders the certainty they require over the Company's requirements for further funding to develop the opportunity independently. We are optimistic and enthusiastic over the ability of Eagle Eye to combine the two company's technologies and to leverage its Board's experience in the retail sector to successfully penetrate the market."

Following the completion of the deal, 2ergo will become known as Broca.

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