– increases the CLX geographic scope, add additional mobile operators to CLX networks and adds advanced security solutions.
Stockholm, Sweden – CLX Communications AB (publ.) – XSTO:CLX
CLX Communications AB (Publ) (“CLX”) – a leading, global provider of cloud-based communications services, announces that it has acquired the English company Dialogue Group Ltd (“Dialogue”), a global provider of mobile messaging solutions for mobile operators.
“Our vision is clear; we are building serves as the world’s leading CPaaS companies. The acquisition of the Dialogue is the next natural step to deliver on the strategy that was communicated in connection with our initial public offering in October 2015.” says Johan Hedberg, president and CEO, CLX Communications
The Dialogue, founded in 1994, is globally one of the leading providers of messaging services and advanced security solutions for mobile operators and has a particularly strong network of Tier 1 mobile operators in Asia – Pacific region. Through the acquisition, CLX to strengthen its customer base in the Uk and Australia, as well as adding additional key, direct mobiloperatörsförbindelser in New Zealand, Singapore, Malaysia, Vietnam, Bangladesh, Cambodia, Japan, the Philippines, Indonesia and Egypt.
The acquisition adds Dialogues software “Sentinel”, a powerful and innovative security solution for mobile operators, CLX existing product portfolio. By Sentinel product enhances CLX further its position as a provider of security solutions to mobile operators globally. The solution can significantly reduce the branschbedrägerier.ex. “The Global Title were faking,” which will help mobile operators absorb the significant revenue that would otherwise be lost. Sentinel, in combination with CLX existing security solutions, will be one of the most powerful tools for the detection and prevention of security threats in the industry today.
Background to and reasons for the acquisition of Dialogue
The market for communication between business critical applications and their customers (A2P), regardless of whether it is text messaging, voice-based solutions or IOT – the Internet of Things, is growing rapidly.
The acquisition of Dialogue means a benefits.
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The acquisition accelerates the CLX’s launch in, and penetration of, the strategically important Asia – Pacific region including New Zealand, Singapore, Malaysia, Vietnam, Bangladesh, Cambodia, Japan, the Philippines and Indonesia.
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Further expand the CLX Tier One Super-Network by adding additional mobile operators, mainly in Asia and the Pacific region.
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Adds innovative security products and functionality to the CLX product offering to the company’s mobiloperatörskunder and Tier 1 operatörspartners.
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Is expected to create nettosynergier the equivalent of about 1 million GBP compared with the Dialogues rolling 12-month results.
The acquisition of the Dialogue is CLX fourth acquisition since the ipo in 2015. Mblox, which was acquired in 2016, gave CLX a strong market position in the united states and has so far generated significant cost and revenue synergies. Sinch, also acquired in 2016, provided the advanced technology and products in the voice and video communication. The acquisition of Xura Secure Communications earlier in the year gave the CLX a strong position in Germany, Austria and Switzerland.
Information about Dialogue Group Ltd
Dialogue is a one of the leading international providers of messaging and security products. Dialogue has 49 employees and has its base in Sheffield, England, and offices in London, Sydney and Singapore. In addition to delivering solutions for messaging services to enterprises, offers Dialogue software and services to mobile operators, mainly in Asia and the Pacific region, but also globally, in order to be able to assimilate the revenue from A2P SMS. Dialogue manages approximately 1.7 billion messages annually in more than ten countries.
For Dialogues fiscal year 2016 (ending July 30, 2016), revenues amounted to 32 million USD, gross profit amounted to 7.9 million EUR and EBITDA amounted to 2.8 million GBP, equivalent to an EBITDA margin of 8.8 percent.
During the twelve-month period that ended last February 2017, revenues amounted to sek 36.7 million USD, gross profit amounted to 11.5 million EUR, and reported EBITDA amounted to 5.2 million EUR, which corresponds to an EBITDA margin of 14.2 per cent.
Price, financing and timetable
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CLX acquires the Dialogue Group Ltd at a price of 32 million EUR on a cash and debt free basis.
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The purchase price corresponds to 6.1 x EV/EBITDA, based on EBITDA for the twelve-month period that ended last February 2017. Nettosynergier of approximately 1 million GBP is expected to be realized within 12-18 months.
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The purchase price is paid in cash and the CLX has secured funding through a credit facility from Svenska Handelsbanken and Danske Bank.
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The integration starts immediately. It is expected to take 12 – 18 months and be completed in autumn 2018.
For further information please contact
Thomas Ahlerup
Chief Investor Relations Officer
CLX Communications AB (publ.)
Mobile phone +46-768-966300
E-mail thomas.ahlerup@clxcommunications.com
If CLX Communications
CLX Communications (CLX) is a leading global provider of cloud-based communications services and solutions to enterprises and mobile operators. CLX mobile communication services makes it possible for companies to quickly, securely and cost-effectively communicate globally with their customers and connected devices – IoT (Internet of Things).
CLX solutions enable business-critical communication across the world through mobile messaging services (SMS), voice services, and mobile konnektivitets services for the IoT. CLX has since the company was founded grown with profitability. The group is headquartered in Stockholm, Sweden, and a presence in 20 additional countries.
CLX Communications share is listed on NASDAQ Stockholm – XSTO:CLX.
Please visit us at: www.clxcommunications.com
If The Dialogue
Dialogue Group Ltd. is the operator that has been established at the international market for A2P messaging. And has helped customers since 1994. Dialogue has extensive knowledge and experience of all aspects of the A2P market and through its A2P SMART Hub – a unique solution that helps operators to filter and control their A2P traffic – allows for Dialogue for the mobile operators to successfully monetize their A2P traffic and achieve sustainable revenue. Currently working Dialogue Group with over 50 of the world’s leading mobile phone network in fourteen markets, including countries such as Japan, Cambodia, Bangladesh, Egypt, Ireland, the united kingdom, Australia and New Zealand.
The Dialogue Group is a member of the GSMA and has its headquarters in London with additional offices in Sheffield, Sydney and Singapore.
For more information, visit www.dialogue.net
Important information
This communication may contain certain forward-looking statements. Such statements are all statements that do not relate to historical facts and include expressions such as “believes”, “estimates”, “expects”, “waiting”, “assume”, “anticipate”, “intend”, “may”, “continue”, “should” or similar. The forward-looking statements in this communication are based on various estimates and assumptions, which in several cases are based on additional assumptions. Even if the CLX believes that these assumptions were reasonable when they were made, are such forward-looking statements subject to known and unknown risks, uncertainties and other important factors that are difficult or impossible to predict and which is outside the CLX control. Such risks, uncertainties and important factors could cause actual outcomes and results may differ materially from the results expressed or implied mentioned in this communication, by the forward-looking statements. The information, opinions and forward-looking statements in this notice apply only as of the date of this notice, and may change without notice.
This information is such information as CLX is required to publish under the EU marknadsmissbruksförordning. The information was submitted, through the above contacts in the government, for publication on 10 may 2017 there is a 16:10
170510 CLX acquires Dialogue_SWE_FINAL
