Artilium to acquire Germany's Interactive Digital Media for EUR 3.5 mln

Belgian telecoms service provider Artilium announced it has acquired Interactive Digital Media (IDM), a Germany-based provider of cloud communications services, for a total of EUR 3.5 million. 

Artilium acquired IDM for EUR 2.0 million in cash and EUR 1.5 million in options over ordinary shares. The cash element of the acquisition will be partly financed by proceeds from selling 11,485,930 new ordinary shares at a price of EUR 0.0958 per share, raising an estimated EUR 1.24 million.

Artilium called the acquisition of IDM "transformational" and said it will increase the group’s revenues by more than 50 percent as well as significantly reduce Artilium’s dependence on its largest customer. Artilium pointed out "significant" opportunities to cross-sell Artilium’s and IDM's products to their respective customers in its rationale for the transaction. 

The acquisition of IDM should likewise enable Artilium to increase its presence and customer base internationally, particularly in the enterprise market where IDM has a strong customer base, it said.
IDM’s management team will remain with the enlarged company after the acquisition and play a key role in integrating IDM services into Artilium, said Artilium. 

IDM generated EUR 5.3 million in revenue in 2016 and posted an EBITDA margin of 8.4 percent and net income of above 5.3 percent. The company’s systems are located across three data centres in Germany.