Digital media company XTD acquires Ooh Media’s health network assets
Digital transit media company XTD Limited has acquired Ooh Media’s health network for a cash consideration of $300,000.
The acquisition includes 58 medical and dental facilities operated by medical centre manager Idameneo with an exclusive five-year media contract and 77 digital displays.
The contract commenced in 2019 and will be automatically renewed for a further two years and then another three by mutual agreement.
Ooh Media is currently raising equity to help the business weather the storm brought about by COVID-19. Fellow media company Here, There & Everywhere (HT&E) acquired a number of Ooh Media shares last week and the business is aiming for $30m in savings over the next year.
XTD has also announced the launch of Motio, an out of home media sales company. XTD managing director Adam Cadwallader, a former Ooh Media sales director, said the new business has been in the works since mid-2019.
“Since August last year we have been working on a vision to create a customer-facing team that enables our own and potential partner networks, rich in a customer data, to benefit from our experience in the ‘place-based’ out of home sector,” said Cadwallader.
“This is, without doubt, an opportunistic investment for XTD. We are acquiring a high-quality digital out of home network with Australia’s leading medical centre provider at a modest operating cost, providing an ideal launchpad for our sales company, Motio.”
Cadwallader said the acquisition allows XTD to expand into a booming sector, medical and dental centres, and will allow the business to continue its growth strategy.
Motio will begin operations on May 1 and XTD revealed to the Australian Securities Exchange (ASX) today that it is in conversation with other networks. Its Cross Track network still has exclusive representation with JC Decaux.
