LONDON (ShareCast) - (ShareCast News) - AIM-listed digital marketing firm XLMedia has agreed to buy ClicksMob, a mobile performance marketing platform for $5.1m, in a bid to increase its reach in the Asian market.
XLMedia, through its mobile marketing subsidiary Dau-Up, is to complete the acquisition in the first quarter of 2017 and is expected to be earnings accretive in the current financial year.

The acquisition is expected to increase the company's presence in Asia as over 30% of ClicksMob revenues last year were generated in the region.

ClicksMob, which is expected to be earnings accretive in the current financial year, generated unaudited revenues of $16.3m and pre-tax profit, excluding share based payments, of $300,000 for year ended 31 December 2016.

As part of the deal, Dau-Up will also buy ClicksMob's technologies such as audience matching, engine optimisation and fraud fighting tools, which will be integrated with Dau-Up's technology.

XL Media chief executive Ory Weihs said: "We are excited to announce the acquisition of ClicksMob, which combined with our own mobile marketing capabilities provides a significant future growth engine for the group across key verticals.

"This acquisition represents an excellent opportunity for XLMedia to further extend our reach in Asia in addition to strengthening our presence in North America."

Shares in XL Media were up 1.73% to 104.27p at 0930 GMT.

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