Vertoz Expands Digital Reach with Webimax Acquisition

Vertoz Ltd has finalized an agreement to acquire Webimax Llc for USD 6.6 million. The acquisition will occur in two stages with a major portion funded by debt. This move is expected to bolster Vertoz's position in the digital marketing arena and enhance its revenue capacity significantly.

Vertoz Ltd announced a definitive agreement on Wednesday to acquire Webimax Llc at an enterprise value of USD 6.6 million, marking a significant expansion in the digital marketing sector.

The acquisition, which will be executed in two phases through Vertoz Inc, involves an initial purchase of an 80 per cent stake for Rs 46.8 crore followed by the remaining 20 per cent, contingent on specific performance milestones over three years, the company revealed.

To finance this acquisition, 75 per cent of the cost will be covered by a loan from a leading Indian government financial institution, with the remaining 25 per cent from Vertoz's internal resources. This strategic move is projected to increase Vertoz's revenues by approximately USD 9.5 million annually.

(With inputs from agencies.)