INTQ.L Regulatory News (INTQ)

For immediate release 13 January 2014 InternetQ plc ("InternetQ" or the "Company") InternetQ acquires Interacel to accelerate Latin American expansion InternetQ plc(LSE-AIM: INTQ) the leading global mobile marketing, digitalentertainment and advertising technology company, today announces that it hasreached an agreement to acquire Interacel Holdings LLC, one of Latin America'sfastest growing mobile service providers. Interacel is active in some of the world's fastest growing mobile markets andhas direct connectivity agreements with mobile network operators in 11countries across the Americas. Interacel also holds strategic partnerships withnational media companies, including the Albavisión network, the owners ofmultiple television and radio stations across Latin America. For the year ended 31 December 2012, Interacel generated revenues of USD$5.18million (€3.83 million). Interacel is profitable and debt free. The acquisitionof Interacel is expected to be earnings enhancing in the current financialyear. The significant opportunity for mobile commerce in Latin America is underpinnedby Interacel's existing geographic footprint, which includes Argentina,Bolivia, Chile, Ecuador, Paraguay, Peru, Costa Rica, Dominican Republic,Guatemala, Honduras and Nicaragua. This acquisition will accelerate InternetQ's growth across Latin America,providing an established platform from which to upsell the Company's mobilemarketing, Akazoo music streaming and Minimob smart advertising servicesdirectly to mobile network operators and media brands. Strategic Rationale: The acquisition of Interacel is in line with InternetQ's stated strategy ofbroadening its geographical reach whilst further developing its serviceoffering. The key benefits of the transaction are as follows: * Immediate "plug-and-play" access to a significant number of high growth Latin American markets; * Ability to leverage "untapped" capacity of existing direct connectivity agreements with Mobile Network Operators ("MNOs") in 11 countries, in markets which are effectively closed to new entrants; * Immediate capability to deploy and widely promote existing products and services and more significantly cross sell assets across a wider market footprint; * Significant opportunity to take advantage of the imminent transformation to a smartphone culture via the Minimob smart advertising platform; and * Utilise the strength of the management team and ongoing media relationships to effectively exploit the vast regional potential arising from the dramatic adoption of the mobile internet. Panagiotis Dimitropoulos, Chief Executive Officer commented: "We are delighted to announce the acquisition ofInteracel,which acceleratesourability to deploy InternetQ's services across Latin America, one of the world'smost significant mobile markets. Following on from our previous acquisitions inSoutheast Asia and Central Europe, we will focus on combining InternetQ'smobile marketing expertise with Interacel'sexisting network, which will createexciting new business and service growth opportunities. This transaction enables us to create an immediate platform to provideMobiDialog, Akazoo and Minimob services across an additional 11 countries." InternetQ will issue a trading update for the 12 months ended 31 December 2013on 20 January 2014. For further details: InternetQ Tel: +44 (0) 20 3519 5250 / +30 (211) 101 1101 Panagiotis Dimitropoulos, Founder and CEO Tel: +30 (697) 811 7520 Veronica Nocetti, Chief Financial Officer Tel: +30 (694) 420 5275 Buchanan Jeremy Garcia / Gabriella Clinkard Tel: +44 (0)20 7466 5000 RBC Capital Markets Stephen Foss / Pierre Schreuder Tel: +44 (0)20 7653 4000 Canaccord Genuity Simon Bridges / Cameron Duncan Tel: +44 (0)20 7523 8000 About InternetQ plc: InternetQ is one of the world's most technically advanced -and commerciallyadept- mobile service providers; offering clients, developers and consumers acompelling range of mobile marketing, streaming media and smart advertisingtechnology solutions. The company's programmatic platforms underpin some of thefastest-growing digital services, by successfully monetizing the rapid globalgrowth in smart devices and the booming App economy. InternetQ is a publiclytraded company listed on the AIM market of the London Stock Exchange, under thesymbol INTQ. For investors-related queries, please email ir@internetq.com