Communications Mergers and Acquisitions

Communisis agrees £8m acquisition of The Communications Agency

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By Stephen Lepitak, -

June 10, 2014 | 2 min read

Communisis has acquired brand response and customer relationship marketing firm, The Communications Agency (TCA) in a deal worth £8m.

The acquisition of the London agency has been agreed in order to allow Communisis to broaden its integrated model and will see the group’s existing client portfolio, which according to its website includes VUE, Royal Bank of Scotland, Fiat, Argos and British Airways, move across as well.

The deal will include a base consideration of £7.25m and surplus cash of £0.75m held by TCA. The consideration will include £6.55m in cash and 2,404,643 new ordinary shares in Communisis to the value of £1.45m. £0.5m will be deferred to TCA depending on financial performance this year.

The Communications Agency currently employs 42 people, all of who will transfer across to Communisis, while chairman Robert Prevezer and CEO, Adam Leigh will work with the group as senior executives.

Andy Blundell, CEO of Communisis, said: "TCA is a long-established, award-winning and well-respected agency that brings an impressive range of new capabilities and experience to the group's design segment. It will sit at the heart of Communisis' creative offering. The growth prospects are excellent."

During its last full financial year ended 31 October 2013, The Communications Agency generated EBITDA of £0.45m on turnover of £6.2m, and held gross assets worth £1.38m.

Communications Mergers and Acquisitions

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