THE MARKETING GROUP REPORTS FINANCIAL IMPACT OF THE DIVESTMENT OF THREE AGENCIES
Published on August 14, 2017
London – 14 August 2017 – The Marketing Group PLC (“TMG” or the “Group”) announced on 10 August 2017 that, as part of the promised strategic review, it had agreed to divest three subsidiaries: Imagine Group, Wilkin Marketing and Skye Multimedia (the “Divestments”).
Following finalisation of the terms of the Divestments and the agreement between the parties that, from a financial perspective, they will be effective as of 1 January 2017, the financial impact of the Divestments has led to the Group EBITDA in Q1 2017 being increased by €173k, from €125k to €298k. The Goodwill write off on the Divestments is €12,884,000. The divested agencies will not contribute to the Q2 2017 results due to be reported on 15 August 2017.
The Group had been conducting negotiations to divest the three companies for some time, but the results of these companies were originally included in the Group’s Q1 2017 results as there was no certainty at that time that the Divestments would be concluded.
For more information, please contact
Adam Graham, CEO
Phone: 0207 1481606
Claes Delin / Mikael Widell
Phone: +46 703 11 9960
This information is information that The Marketing Group plc is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out below, at 7.00 am CET on 14 August 2017.
The Marketing Group plc (“TMG”) in brief
TMG is building a global full-service marketing network that respects the individual cultures of each agency that joins. By providing a supportive platform for growth, and an agile management approach, TMG aims to provide a fresh alternative to the big holding companies: Independent Spirit – Global scale. Each company within the group provides specialist marketing services brought together, within complementary communities of practice, to form an international network that can address a global market. The central team supports its subsidiaries through a lean and nimble structure that can respond quickly to change and provide highly effective solutions for clients. The Marketing Group is listed on Nasdaq First North, Stockholm.
Mangold Fondkommission AB, +46 8-5030 15 50, is the company’s Certified Adviser and liquidity provider.