Group Press Releases
Aegis Acquires Australasian Market Research Business - AZTEC Information Systems
09 March 2005
Aegis Group plc ("Aegis" or "Group") - the media communications and market research group –announced today the acquisition of AZTEC Information Systems (”AZTEC”), Australia's leading provider of scan data services. AZTEC will now become part of Synovate, the Group’s market research business.
Headquartered in Sydney, AZTEC was established in 1995 and has built a successful business supplying market research services to retailers, manufacturers and brand owners based on grocery, liquor and pharmacy retailers’ EPOS or “scan” data in Australia and New Zealand. AZTEC has also established operations in other parts of Asia Pacific and the UK.
The information it provides is “trade currency” in the grocery sector; globally this segment accounts for around 15% of total market research spend. The combination of Synovate’s global resources and AZTEC’s leading edge software tools provides a unique opportunity to offer FMCG retailers and suppliers a quantum leap forward in value-added scan data services in a number of markets.
The purchase price is composed of an initial consideration of £14.8 million, payable in cash on completion. There is also deferred cash consideration payable over 3 years, up to a maximum of £18.1 million, subject to rigorous performance criteria. For the year ended 31 December 2004, Aztec had revenues of approximately £8.3 million (or £15.8 million if revenues were grossed up to include business where AZTEC acts as an agent).
Aegis Group CEO Robert Lerwill said:
“AZTEC has built a reputation for excellence in providing grocery scan data to FMCG marketers and has established a dominant position in the Australian market in a relatively short period of time. Synovate is particularly strong in consumer research and has established international relationships some of the world’s largest marketers. This acquisition is also a significant milestone for Synovate in Asia Pacific, marking our entry into the Australian and New Zealand markets. This acquisition will increase the mix Synovate revenue generated from higher margin, longer term, syndicated business and I look forward to a successful future working together”.
For further information contact:
Richard Walters
Aegis Group plc
+44 (0) 20 7070 7700
Charles Palmer
Financial Dynamics
+44 (0) 20 7831 3113
