(An item published at 0907 GMT misstated a currency denomination. The correct version follows.)
LONDON (Alliance News) - Sports marketing company TLA Worldwide PLC on Thursday said it has struck a deal to acquire Elite Sports Properties Holdings Pty Ltd in a AUD25.5 million cash and shares deal and said its results for 2014 are set to meet its expectations.
TLA said it will pay up to AUD25.5 million to acquire Elite Sports Properties, an Australia- and UK-based athlete management and sports marketing company.
TLA will pay an initial consideration of AUD13.5 million, with AUD10.1 million in cash and the remainder to be paid via the issue of 3.9 million shares in TLA at 46.36 pence per share. TLA shares were up 0.6% to 43.25 pence on Thursday.
In addition, TLA will pay a further AUD12 million based on the performance of the company over the next five years.
TLA said the deal will significantly expand its presence in the Australian market and will increase its client base to more than 700.
At the same time, TLA briefly said it trading for the year to the end of December was in line with its expectations and it will publish its full-year results on April 14.
"The acquisition of ESP is part of our strategy to complement our strong organic growth with selective earnings-enhancing deals in key international markets," said TLA Executive Chairman Bart Campbell.
By Sam Unsted; samunsted@alliancenews.com; @SamUAtAlliance
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