Business data consultancy Ebiquity has bought advertising auditing firm FirmDecisions in a deal that could be worth up to seven million pounds.
FirmDecisions is being acquired for an upfront cost of £1m which is being paid from Ebiquity's existing banking facilities. That figure could rise to £7m, depending on the performance of the FirmDecisions business in the three financial years ending April 30th, 2014.
FirmDecisions works in media and production cost auditing, specialising in the advertiser supply chain. The company helps its advertiser clients benefit from contractual compliance by their agencies.
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The company is being acquired from its current and previous managers, including Stephen Broderick, one of the founders, who will remain as Chief Executive.
FirmDecisions' unaudited revenue for the year ended June 30th was approximately £2m and it generated an operating profit before highlighted items of approximately £0.3m. The company employs approximately 20 people.
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