YouGov Share News (YOU)

(Sharecast News) - Market research and data firm YouGov announced the acquisition of Swiss market and social research agency LINK Marketing Services on Thursday, for CHF 26.4m (£21.7m).
The AIM-traded company said LINK, founded in 1981 in Lucerne, was "well-regarded" in the region with a focus on innovation and social research capabilities.

It said the company had long-standing relationships with "leading" Swiss companies and global blue-chip clients in the financial services, fast-moving consumer goods, retail industries and government sector.

LINK employed around 100 staff, and was divided into two main divisions - a full-service market research, and a social research business that delivers opinion and behavioural data largely for the public sector, including the Swiss Federal Statistical Office, public institutions and universities.

YouGov said it had seen "good traction" in mainland Europe following the expansion of its panel into several new countries in the geography, and a shift in its approach to target large-scale, regional tracking projects.

Switzerland was described as a "key market" for several of the firm's European clients, with the addition of LINK intended to reinforce YouGov's position in mainland Europe.

Through the acquisition, the board said it could expand the use of its panels, technology and product suite to create additional value for clients and shareholders.

The total consideration for the acquisition was CHF 26.4m, payable upfront in cash, which would be funded through YouGov's internal cash reserves.

For the 12 months ended 31 December, LINK reported revenues of CHF 23m and adjusted profit before tax of CHF 2m.

The existing LINK management team would continue to run the acquired business, which would continue to operate under its own brand for the foreseeable future.

"LINK is a great fit for YouGov and we are thrilled to bring it into the YouGov fold as we continue to invest for growth in line with our strategy," said YouGov co-founder and chief executive officer Stephan Shakespeare.

"Like us, they have a highly engaged online panel - the heart of the company providing their gold standard data - and they are similarly renowned for world class social and political research."

Shakespeare said Switzerland was home to a large number of multinational companies, with LINK's data the "best-in-class" in the market.

"Through this acquisition, we can better serve clients both within Switzerland and around the world as we roll out our world class data products in the country."

At 1428 GMT, shares in YouGov were down 0.14% at 1,537.8p.