Catcha Digital Berhad has announced that it has entered into a Letter of Intent to acquire a 51% equity interest in DS Services Sdn Bhd or more commonly known as “Digital Symphony” among industry players for approximately RM21.167 million. The acquisition is expected to materially increase Catcha Digital’s earnings per share.
The group said the consideration payment will be split into 2 tranches over 2 years, payable upon Digital Symphony achieving a profit guarantee of audited profit after tax of RM4 million for the 1st year post-acquisition and RM4.3 million for the 2nd year post-acquisition. Payment for the purchase consideration is expected to be funded via a combination of internally generated funds, debt financing, and equity financing.
Digital Symphony is a Malaysia-based award-winning, data-driven digital agency, operating across Malaysia and Singapore. Leveraging its proprietary software and analytics tool, it provides differentiated performance marketing solutions to its clients. The company serves a broad range of enterprise clients with a focus on the property development sector, including prominent companies such as Gamuda Land, Mah Sing, Sunway Property, Tropicana Corporation, and Sime Darby Property.
