News: Invigor Group to acquire mobile data provider

Invigor Group (ASX:IVO) should trade higher after reaching agreement to acquire Amethon Solutions.

A binding term sheet has been executed by Invigor, Amethon and vendors who control the majority of Amethon’s issued capital.

The purchase price is $1.8 million - $250,000 in cash and the remainder in Invigor shares priced at $0.08. Additional shares may become payable subject to business performance over the next 2 years.

Amethon operates in the mobile data market delivering subscriber data through advanced network analytics and content tracking solutions.

Amethon already has existing contracts and has a number of opportunities and is expected to be a major contributor to the Invigor’s EBITDA following transaction completion.

The vendors of Amethon have also agreed to subscribe for an additional 3,750,000 shares to raise $300,000 following completion of the acquisition.

Invigor is aggressively expanding its digital commerce strategy.

Last month, the company entered into a development contract with Australia Traffic Network (ATN), a media provider of traffic news and information. Its reports are heard 365 days a year on all metro commercial radio stations.

And in July, Invigor signed a Foundation Agreement to acquire the Search Results Group for $5.8 million.

Search Results Group is an Australian online media agency offering search, web development and marketing products to small and medium enterprises.

Invigor is capitalised at around $16 million.