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Alterian Gives Yearly Results, Price of Mediasurface Purchase
May 20, 2008 9:02 PM
, By Richard H. Levey
Marketing services provider Alterian generated roughly $7.9 million in pretax profit during the financial year ended March 31, approximately twice what it earned a year earlier. While the London-based company didn’t reveal its revenue, it indicated topline growth was 38% above the previous year’s level. These results did not include any contribution from Mediasurface, the Web content provider Alterian announced its intention to purchase on May 16. But an Alterian spokeswoman offered a few more details regarding the anticipated purchase. Alterian acquired the stock of publicly traded Mediasurface for approximately $35.7 million. The deal consisted of a straight-up combination of cash and stock, with no further considerations based on future performance. Mediasurface’s board held 11.2% of the stock, with the rest owned by a mix of institutional and private investors. Mediasurface brings 171 employees to Alterian, an influx that will swell Alterian’s payroll to include 300 workers worldwide. “We are not expecting major headcount changes,” said Adrienne McGarr, an Alterian spokeswoman, adding “There are no intentions to make any major changes to the business, its places of business or to redeploy its fixed assets,” This is not to say there won’t be any changes. Both Mediasurface’s CEO and CFO will be leaving the company, but are contracted to stay on as consultants for two months after the deal is completed, in order to help with the transition, according to McGarr. The fate of the Mediasurface brand itself is undetermined. McGarr said that a working group had been set up to examine its value and role. |
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