AFR - Shopping mall app Sprooki to be acquired

Posted in AFR's Street Talk this morning:

Shopping mall app Sprooki to be acquired

• Share via Email
• Share on Google Plus
• Post on facebook wall
• Share on twitter
• Post to Linkedin
• Share on Reddit

http://www.copyright link/content/dam/images/1/t/3/i/y/image.related.afrArticleLead.620x350.gvtgok.png/1493253643066.jpg
Invigor Group, which is lead by iSOFT founder Gary Cohen, expects the acquisition to be earnings accretive by the 2018 financial year.
Business intelligence and big data solutions company Invigor Group has acquired Singapore-based shopper engagement and analytics app Sprooki for $10 million in an all-scrip deal, Street Talk can reveal.

The deal follows Sprooki securing Invigor Group as its first Australian customer in July last year. This resulted in Sprooki's platform being integrated with Invigor's Insights Visitor WiFi Analytics and Engagement product to enable location-targeted messaging, mobile vouchers, cardless loyalty and rewards systems and predictive product recommendations for large retailers and shopping malls.

Invigor Group, which is lead by iSOFT founder Gary Cohen, expects the acquisition to be earnings accretive by the 2018 financial year, adding $5 million in revenue and making the company cashflow positive, sources said.

As part of the buyout $4 million of Invigor shares will be issued to Sprooki shareholders, subject to a 12-month escrow and an additional $6 million of shares subject to performance milestones in 2017 and 2018.

Sprooki, which is founded by two former Fairfax Media digital leaders Claire Mula and Michael Gethen, had planned on listing on the ASX via an initial public offering last year, raising $7.5 million.

Invigor is currently in a trading halt, but last traded at 1.5¢. Sources said Allectus Capital will join the company's register, investing $1 million for a 12.5 per cent shareholding.

Invigor is also expected to announce former Commonwealth Bank and Westpac Bank chief information officer Bob McKinnon as chairman.


Read more: http://www.copyright link/street-ta...-to-be-acquired-20170427-gvtgok#ixzz4fPIEBb9d
Follow us: @FinancialReview on Twitter | financialreview on Facebook