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GP advertising group, Medical Media acquired by Swift Networks

Out-of-home network Medical Media has been acquired by ASX listed Swift Networks in a deal worth up to $25m.

Medical Media owns 2,500 digital screens located in medical practice waiting rooms across Australia while Swift narrowcasts to private networks across sectors including resources, maritime, aged care, retirement homes and government agencies.

According to the statement release to the stock exchange, Medical Media’s revenue grew by 42% in FY18 to $7.4 million.

The deal involves Medical Media’s investors receiving $4.5 million upfront in Swift shares, with up to a maximum of $25 million payable if all performance milestones are met.

As part of the deal Medical Media director Darren Smorgon, also a director of oOh!Media Ltd, joins the Swift Networks board, while Medical Media’s CEO Peter Wiltshire will remain with the combined company.

Wilshire, a former Channel Nine chief revenue officer, was named Medical Media’s CEO after founder Nazar Musa stepped down in June.

Swift Networks CEO, Xavier Kris said: “I am delighted to welcome Medical Media to the Swift Networks Group. This acquisition builds on the strength and continued growth of the underlying Swift business.

“Medical Media is a clear leader in the digital-out-of-home advertising sector which has carved out a strong, defensible market position in medical practices nationally. This accretive transaction accelerates Swift’s strategic plan to broaden our capabilities, acquire new audiences and monetise our expanding footprint to generate revenue through targeted advertising.

“I thank our investors and banking partners for their support of this transaction and look forward to delivering material revenue and cost synergies as we execute our exciting growth plans for the combined, integrated group.”

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