Member Article

Leeds’ Communisis acquires London communications agency for £8 million

Leeds-based marketing firm Communisis has acquired London’s TCA (The Communications Agency) for £8 million.

The consideration will be satisfied in cash of up to £6.55m and 2,404,643 new ordinary shares in Communisis to the value of £1.45 million.

Of the base consideration, up to £500k in cash is deferred and contingent on TCA delivering its projected adjusted EBITDA, on a normalised basis before non-recurring items, for its financial year ending 31 October 2014.

TCA is based in London with 42 employees, all of whom are transferring to Communisis. The chairman, Robert Prevezer, and chief executive, Adam Leigh, the principal vendors, are also joining the Group in senior executive roles.

For the financial year ended 31 October 2013, TCA generated adjusted EBITDA* of £0.45 milion on a turnover of £6.2 million (£4 million net of recharged costs). Gross assets at that date were £1.38 million.

Andy Blundell, Communisis chief executive, said: “TCA is a long-established, award-winning and well-respected agency that brings an impressive range of new capabilities and experience to the Group’s Design segment.

“It will sit at the heart of Communisis’ creative offering. The growth prospects are excellent.”

This was posted in Bdaily's Members' News section by Clare Burnett .