(Adds details)
LONDON, Feb 22 (Reuters) - Aegis Group (LSE: AGS.L - news) said on Wednesday it had agreed to buy U.S. agency Roundarch Inc for about $250 million in a deal that meets its twin targets of growth in digital media and North America.
Roundarch designs and builds digital solutions for clients such as Avis, HBO and the US Air Force, Aegis said, adding that it would combine the firm with Isobar, Aegis Media's existing digital creative network in the United States.
The British marketing group is paying an initial $125 million for the company, and said it could pay a maximum $360 million by 2017 if Roundarch significantly outperformed.
Broker Numis noted that the deal would boost Aegis Media's total global revenues from digital to 40 percent from about 35 percent.
"Following the group's recent win of the $3bn General Motors (NYSE: GM - news) account, today's acquisition provides further momentum within the group's U.S. division," analyst Lorna Tilbian said.
She (SNP: ^SHEY - news) upgraded her pretax profit forecast for the 2012 financial year to 185 million pounds ($292.66 million) from 180 million following the deal.($1 = 0.6321 British pounds) (Reporting by Paul Sandle; Editing by Neil Maidment)
There are no comments yet