Marimedia Ltd., a provider of solutions for optimizing for the sale of online advertising space, has completed its IPO on London’s Alternative Investment Market (AIM), raising £17.9 million ($30.2 million) at £1.53 per share, at a company value of £94.7 million ($160 million), after money. Its four shareholders sold shares for £11.9 million ($20.1 million). The offering totaled $50.3 million altogether, a handsome sum given the recent shocks on the capital market. Trading in the share will begin on Wednesday, May 28, under the ticker MARI.
Marimedia follows the IPOs of SafeCharge International Group plc (AIM: SAFE), XLMedia plc (AIM: XLM), Summit Germany plc (AIM: SMTG), and Bagir Group Ltd. (AIM: BAGR) on the AIM.
"We are pleased to join the AIM, and we believe that the offering will improve our brand in the eyes of our customers and partners, especially in our growth markets," said Marimedia CEO Hagai Tal.
Marimedia was founded in 2007. Its Qadabra technology enables publishers to trade space on their sites electronically for the highest price possible. In its statement, the company said that charged customers an average of $33 per $100 that advertisers paid site owners which allocated them space. It operates in 40 countries. One third of its revenue in 2013 came from the Asia-Pacific, 29% from North America, 16% from the Middle East and Africa, 12% from Western Europe, 6% from Latin America, and 4% from East and Central Europe.
Revenue rose by an annual average of 87.7% in 2010-13, and earnings before interest, taxes, depreciation and amortization (EBITDA) rose by an annual average of 97.5%. It posted EBITDA of $8.7 million on $43.3 million revenue in 2013. It has no debt.
Marimedia is in the same business as Matomy Media Group Inc., whose IPO on the London Stock Exchange failed in April. Marimedia has an EBITDA multiple of 20, half of Matomy's EBITDA multiple of 40.
Marimedia has almost 100 employees, mostly at its offices in Herzliya. It will invest the proceeds of the IPO to open offices in the UK and the US, and other purposes.
Published by Globes [online], Israel business news - www.globes-online.com - on May 22, 2014
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