London-based firm IMImobile Ltd on 14 October 2014 acquired mobile communications company TxtLocal Ltd (TextLocal) for 11 million euro in a cash and equity deal.
The initial consideration for the deal is worth 10 million euro in cash and 1 million euro by way of IMImobile shares. There is a deferred consideration of up to 2.15 million euro.
Highlights of the acquisition
• Post acquisition, mobile messaging platform of TextLocal will be integrated with IMImobile’s core infrastructure.
• TextLocal’s platform will provide significant cross-sell and lead generation opportunities.
• TxtLocal Ltd will also leverage its global footprint to introduce TextLocal’s offering into new international markets.
• TextLocal and its customer base will benefit from IMImobile’s capabilities of delivering multi-channel customer engagement and mobile payments solutions that work in synergy with TextLocal’s features such as mobile vouchers and ticketing.
• The acquisition will allow IMImobile to target the small and medium businesses (SMBs) segment and expand its cloud-based mobile messaging offering.
Originally, the company was established by Vishwanath Alluri and Shyam Bhat as IMISoftware in 1999 to develop software for power transmission and telecom towers.
In 2000 the two founders saw an opportunity to offer a richer set of mobile data services in a mobile landscape dominated by voice and SMS. Subsequently in 2007, the original business of IMISoftware was sold and the company was renamed IMImobile.
The company enable clients to engage and transact with their customers efficiently through smarter mobile engagement using mobile as a channel to create new revenue streams.
It supports clients in over 60 countries and has 650 employees worldwide.
TxtLocal Ltd was established in September 2005 as a mobile communications company in United Kingdom. Alastair Shortland is the founder and CEO of the company.
The company was listed as a Media Momentum top 20 fastest growing digital agency across Europe for the last three years as well as it won a Chamber Business Award for marketing Innovation.
Who: IMImobile Ltd
When: 14 October 2014