TalkPool acquires Dutch-based Camouflage in line with its partnership expansion strategy
This information is information that TalkPool is obliged to make public pursuant to the EU Market Abuse Regulation and the Securities Markets Act. The information was submitted for publication, through the agency of the contact person set out above, at 15.00 CET on 30 October, 2016.
TalkPool AG acquires the Dutch company Camouflage B.V. together with its local JV partner Cejege BV. TalkPool pays 500,000 euro for 65 percent of the shares in Camouflage. The acquisition of Camouflage marks the first step in TalkPool’s previously announced committed plans of expansion.
Camouflage specializes in telecom equipment camouflaging in the BeNeLux markets, with market leadership in Belgium and the Netherlands. Many local telecom network operators turn to Camouflage when they need modification of the appearance of telecom equipment. Most of the current work is for normal 4G macro sites but the deployment of small cells is increasing. Furthermore, new technologies such as IoT and 5G will increase the number of sites deployed, especially in cities and towns.
“This deal is important to us as it is the first time we enter into a new market through an acquisition with a local JV partner. Camouflage is addressing a niche that we can offer our network clients in all markets. Most of our M&A efforts are in the direction of high-tech IoT system integration, but this is proof that we’re able to find hidden gems in the mature segment of network services. We’re also eager to increase our market presence in Europe and this is a step in that direction”, says Erik Strömstedt, CEO of TalkPool.
The deal values Camouflage to 900,000 euro, which is 2.8 times the EBITDA for 2015. The owner of Camouflage will receive 800,000 euro as consideration in cash and 100,000 euro as earn-out, depending on the performance of Camouflage during the coming six months. The local partner company Cejege BV., which is managed by TalkPool’s Board member S. Schroeder, buys 35 percent of the shares. Camouflage had an EBITDA of 33 percent and net margin of 25 percent in 2015, and the acquisition will improve TalkPool’s consolidated profitability. Camouflage’s revenues of 2015 amounted to approximately 960,000 euro and TalkPool believes it can assist Camouflage to grow through an increase in international presence. The acquisition proves that TalkPool is able to expand its network services business into new markets in highly profitable niches at reasonable cost. The founder, current owner and manager of Camouflage, Peter von Brunschot, wishes to leave the company after a transition period. The new owners, TalkPool and Cejege, will form a new Board of Directors, which in turn will appoint a pre-qualified Managing Director.
For more information, please contact
Erik Strömstedt, CEO of TalkPool, email@example.com
Tel: +41 81 250 2020
TalkPool builds, maintains and improves telecommunication networks globally. Through its cutting-edge technical expertise, long experience and agile business model, TalkPool offers global telecom vendors and operators high-quality services on short notice no matter the location. Moreover, TalkPool is one of few companies with actual solutions and contracts in place in the exciting IoT-market. Remium Nordic AB is TalkPool’s Certified Advisor.