dotDigital Group Regulatory News (DOTD)

dotDigital Group Plc

Completion of Netcallidus Acquisition

Successful integration and thriving Search Engine Optimisation business

dotDigital Group Plc (AIM:DOTD), ("dotDigital" or the "Company" or the "Group"), the leading provider of search marketing services, digital strategy advice, intuitive Software as a Service and managed services to digital marketing professionals, announces an agreement with shareholders of Netcallidus Limited ("Netcallidus"),to make a final payment of £0.17m to complete the earn out and accelerate the integration of the business.

On the 18 May 2010 the Company announced the acquisition of Northampton based Netcallidus, a digital marketing agency which provides Search Engine Optimisation (SEO) services to SME and enterprise organisations throughout the UK. The business has been successfully transitioned into the group such that the founders can step back from the business as full time directors. The agreement announced today provides that in the foreseeable future they will continue to provide support on a consultancy basis as required.

Through the above acquisition and subsequent rebranding as dotSearch, the Company was able to secure a foothold in the growing SEO marketplace and grow dotDigital's SEO revenues to £1.2m by 30 June 2011 (30 June 2010: £100k).

Peter Simmonds, Chief Executive, dotDigital Group Plc, commented:

"We have been delighted with Netcallidus's enthusiasm to merge with us and to train our sales and account management teams. This has lead to accelerated sales including cross sales from existing customers, forming a valuable source of new business. We are now able to offer an even more integrated service to our new and existing customers.

"Now that the integration of Netcallidus is complete, we will be turning our attention to further acquisition opportunities."

24 November 2011

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