Team Internet Group announces acquisition of Shinez I.O. to boost online marketing reach
Team Internet Group plc (TIG), a prominent player in the digital landscape, has entered into a definitive agreement to acquire Shinez I.O. Ltd, a leader in online marketing and its subsidiaries, known collectively as “Shinez”. This acquisition, valued at an enterprise value of USD 41.8 million, marks a significant milestone in TIG’s expansion strategy, enhancing its capabilities in content production and promotion across various digital channels.
Shinez is renowned for its innovative approach to engaging content creation and promotion through social media, search engines, and native networks. With forty popular portals under its belt, including ourfashiontrends.com and travelerdreams.com, Shinez has mastered the art of monetizing real-time visits via an extensive advertising exchange network, leveraging cutting-edge technology and strategies to maximize content revenue potential.
The acquisition terms detail a cash payment based on a net debt-free basis, subject to customary adjustments, representing a 4.0x multiple of Shinez’s FY23 Adjusted EBITDA. Additionally, an extra contingent consideration of up to USD 12.3 million is set, dependent on Shinez reaching certain financial milestones over the next two years.
Financially, Shinez reported substantial revenue figures for the year ending December 31, 2023, with gross revenue of USD 111 million, net revenue of USD 17.2 million, and an Adjusted EBITDA of USD 10.4 million. The acquisition is anticipated to significantly enhance the enlarged Group’s earnings per share (EPS), forecasting a high single-digit percentage range growth for the pro forma fiscal year 2023, excluding potential synergies.
Strategically, the acquisition of Shinez presents multiple benefits for Team Internet Group, including diversification into lucrative verticals, reduction in monetisation network concentration, enhanced capabilities in media buying and content creation, and substantial synergy opportunities.
The acquisition is slated for completion by late April/early May 2024, with full consolidation expected in Q3 2024. Michael Riedl, CEO of Team Internet, expressed enthusiasm for the transformative potential of this acquisition, aligning perfectly with the company’s Omni-Media, Omni-Monetisation vision.
This strategic move by Team Internet Group plc signifies a leap towards dominating the digital marketing space, promising exciting developments in online advertising and content monetisation strategies.