Leederville-based specialist media company Aspermont has today announced a deal to acquire UK based Mining Communications Ltd for $18.8 million, as part of its global expansion strategy.
The ASX listed company currently produces a range of publications including Australia's Mining Monthly, Contractor, ResourceStocks and Petroleum Magazine, and has developed and maintains news websites including www.miningnews.net and www.petroleumnews.net
The announcement is pasted below:
Australian integrated media company Aspermont Limited has reached a key milestone in its global expansion, with the company agreeing to a A$18.8M cash/scrip deal to acquire the remaining stake in UK based Mining Communications Limited (MCL).
MCL is the publisher of the 175 year old Mining Journal and organiser of the internationally acclaimed Mines & Money Conference Series.
Aspermont, which last year recorded a NPAT of AUS$1.966m (up 44.8%), owned 39.3% of MCL prior to this transaction and has been a significant minority shareholder in the company since 2006.
As a result of this agreement Aspermont will acquire all the issued capital of MCL.
Aspermont believes the acquisition provides a platform from which the enlarged company can further develop on an international scale, information services to the burgeoning resources industry and, in future, other sectors.
"The integration of these two companies will also provide an ideal infrastructure base for the launch of products within new sectors in the UK/European Market," he added.
The joining of the two companies creates a global mining information offering across print, online, conferencing and other information services.
The combined company will have in excess of 40 products and circa 150 staff.
The enlarged Aspermont will seek to derive benefits associated with a consolidation of strengths in print, online and conference offerings, derive benefits from the sharing of substantial intellectual property, potential expansion into new industry and geographical segments and global advertising representation.
Included in the vendors are the MCL senior executives, who have agreed to stay with the company to assist in the growth strategy.