LONDON, UK: Kin and Carta plc, the international digital transformation consultancy, has divested Incite Marketing Planning Limited and Incite New York LLC (together, Incite) to Strat7, a leading provider of strategic marketing and planning services.
Incite provides research, planning and strategic consultancy services for clients ranging from insight professionals and marketing leaders through to the executive and investor community.
The consideration receivable is £18 million cash, net of customary adjustments for cash, debt and working capital, of which £17 million was paid upon completion, and a deferred amount of £1.0 million is payable on 31 July 2022.
As a consequence of the divestment, the results of Incite will be reported as discontinued operations within Kin and Carta’s results for the year ended 31 July 2021.
Incite contributed net revenue of £11.7 million and adjusted operating profit of £2.2 million in FY21, and had gross assets of £8.0 million at 31 July 2021.
In the short term, the net proceeds of the disposal will be used to pay down debt, further strengthening the balance sheet. As part of its growth strategy, Kin and Carta continues to pursue a robust funnel of DX acquisition candidates that can be funded by this strengthened balance sheet.
J Schwan, Kin and Carta CEO said “Incite is a quality business and I wish its management and staff well. The disposal is executing on our ongoing strategy to focus on our core digital transformation services. We anticipate further disposals from our Ventures division in due course that will help facilitate the pipeline of acquisition opportunities we are currently assessing.”
Kin and Carta PLC share price
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28 Sep, 5:15 pm GMT+1 ·Disclaimer