Target Company Overview

AVENTADOR, listed on the Euronext Growth market, has announced its exclusive negotiations to acquire 80% of an AdTech company specializing in Out of Home (OOH) media and data. Established in 2005, the target company is a leader in OOH advertising. It has developed a proprietary digital platform that significantly enhances audience measurement and profiling, thereby transforming the local advertising landscape. This innovative tool conducts real-time analyses of extensive data, facilitating refined outdoor audience metrics based on qualitative and quantitative assessments.

The audience measurement system innovatively integrates consumer travel survey results with large datasets, providing actionable insights for better operational outcomes. This capability allows clients to make informed advertising decisions, maximizing their return on investment.

Industry Overview in France

The Out of Home advertising industry in France is evolving rapidly due to advancements in digital technology and increasing demand for data-driven marketing strategies. The market is currently valued in the billions, with a continuous upward trend anticipated as brands recognize the effectiveness of OOH advertising as a key element of their marketing strategies.

French marketers are increasingly gravitating towards integrated digital OOH campaigns, which offer greater interactivity and engagement with consumers. This shift is propelled by the proliferation of mobile device usage and the growing necessity for real-time analytics and insights, making effective audience targeting possible.

Moreover, regulations surrounding advertising have become more favorable, offering businesses a conducive environment to capitalize on OOH media. The integration of technology into traditional media platforms presents new opportunities for innovative advertising, substantial demand for measurement and reporting tools, and enhances overall campaign effectiveness.

In this dynamic environment, companies that leverage advanced analytics and tech-driven solutions to enhance customer engagement are likely to thrive, indicating strong growth potential for companies within this sector.

Rationale Behind the Deal

The acquisition is strategically aligned with AVENTADOR's commitment to building a diversified portfolio of profitable businesses. By acquiring an OOH media and data expert, AVENTADOR aims to enhance its digital communication capabilities, fostering synergies with its future acquisitions. This strategic move not only strengthens AVENTADOR's competitive position in the market but also promises to create substantial value through the integration of innovative advertising solutions.

The mutual agreement on the valuation, set at €11.2 million, highlights the anticipated growth trajectory of the target, particularly if the deal is finalized before the end of 2024. The application of a 20% discount upon early completion further underscores the commitment to expediency and value generation.

Investor Information

AVENTADOR, formerly known as Algreen, is a holding company focused on the management, development, and financing of profitable enterprises. With a robust strategy steered towards sustainable growth, AVENTADOR is well-positioned to support and optimize the performance of its portfolio companies through strategic interventions in financial, legal, accounting, and IT domains.

The company's leadership, spearheaded by Chairman Gilles-Emmanuel Trutat, is dedicated to fostering significant growth by aligning investments with emerging market opportunities, thereby enhancing the long-term value of its holdings.

View of Dealert

The acquisition of a strong player in the OOH media and data sector by AVENTADOR can be viewed as a prudent investment. The target's innovative technology not only positions AVENTADOR favorably within the advertising market but also aligns well with the growing trend towards data-driven marketing strategies.

Given the increasing importance of effective audience measurement and the integration of digital capabilities into traditional media, this acquisition presents an opportunity for AVENTADOR to strengthen its operational capabilities and expand its market reach. Moreover, the mutually agreed valuation reflects a calculated approach to secure a competitive asset while maintaining the potential for significant returns.

Furthermore, AVENTADOR's commitment to supporting its acquired entities through optimization and strategic growth initiatives, combined with the burgeoning demand in the OOH advertising sector in France, augurs well for future performance. If successfully executed, this acquisition could propel AVENTADOR further ahead in the competitive landscape.

In conclusion, the strategic acquisition is set to foster growth and innovation, positioning AVENTADOR as a pivotal player in the evolving advertising industry.

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