According to the announcement “Quadrant will acquire 100 percent of the issued share capital of QMS Media for a cash price of $1.22 per share by way of a court-approved scheme of arrangement. The Scheme Consideration of $1.22 per share values QMS Media equity at approximately $420.6 million, and at an enterprise value of $571.6 million.”
QMS Media’s Board of Directors unanimously recommends the scheme and chairman, Wayne Stevenson, said: “Having fully considered a range of strategic alternatives in relation to some or all parts of the QMS business, including the receipt of an unsolicited proposal from Quadrant, the Board believes this offer allows QMS shareholders to realise significant value for their shares. Since QMS Media’s initial public offering in 2015, QMS Media has delivered significant shareholder value, as illustrated by the increase from its IPO price of $0.65 to the Scheme Consideration of $1.22.”
QMS Media chief executive officer Barclay Nettlefold also issued a statement: “The recommended acquisition of QMS by Quadrant represents an excellent outcome for our shareholders, partners and employees. It is a testament to our sustained growth in a challenging market, and our continued market-leading digital revenue contribution, led by our strong and experienced executive management team.”
And Quadrant Private Equity partner Jonathon Pearce said: “We are delighted to have an opportunity to partner with Barclay and his experienced team. QMS has a proven track record of delivering sustainable growth. Under Barclay’s continued leadership and with Quadrant providing additional capital, we believe the business will continue to grow and deliver innovative market-leading solutions to customers across the Australia & New Zealand Media and Global Sports divisions.”
According to the announcement, subject to shareholder approval being obtained by the requisite majorities and the other conditions of the scheme being satisfied, it is expected to be implemented in the first quarter of CY2020, however, it adds the timing is indicative and subject to change.
Last year, oOhMedia bought Adshel from Here, There and Everywhere, while JC Decaux bought APN Outdoor.