Avisen has followed through on its pledge to bulk up through acquisition, announcing a reverse takeover of fellow AIM-listed outfit 1Spatial.
Its bid for 1Spatial values the location-based information solutions player at about £4.74m, an 11 per cent discount on its closing share price yesterday. On completion, the enlarged firm will transition to a single 1Spatial brand.
Avisen chief executive Marcus Hanke will be chief executive of the enlarged group.
He said: "It has been our intention to identify the right company to acquire to support the next phase of our development.
"We wanted a company that would enable greater value to be extracted from our current businesses as well as add additional scale to our overall operations. We are very excited about the merger with 1Spatial, as we believe it provides value to all of the combined shareholders and an excellent platform for mutual growth."
1Spatial chief executive Nic Snape, who will be managing director of the enlarged firm, said: "Our profile in the spatial industry has never been higher and the access to capital and business acumen that Avisen brings will enable us to capitalise on the foundation we have built from our own resources.
"The 1Spatial Board are confident that the combined companies will accelerate the growth of 1Spatial and provide significantly enhanced shareholder return."
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