Oxford Metrics Regulatory News (OMG)

28 Apr 2008 07:00

OMG PLC28 April 2008 28 April 2008 OMG plc Acquisition of Mobile Video Services, Inc. OMG plc, Oxford Metrics Group (LSE: OMG), the technology group providing imageunderstanding products for the entertainment, defence, life science andengineering industries, is pleased to announce that its 3D mapping division,Yotta, has acquired the trade and assets of Mobile Video Services, Inc. ("MVS"),a leading US provider of data collection services for the assessment of propertytaxation, for a total consideration of $4.0m (£2.0m). The acquisition accelerates the growth of Yotta's 3D mapping business in NorthAmerica, fulfilling OMG's strategic objective to expand its operations in thisimportant market place. MVS provides OMG with an instant operational capabilityand offers field data collection and data processing synergies with its existingoperations. Yotta will add its mobile mapping technology to MVS vehicles andenable the new business to quickly enter the highway survey and mapping marketwhile growing data collection services in the property tax assessment market. The acquisition is expected to be earnings enhancing for OMG in the currentfinancial year ending 30 September 2008. MVS' unaudited financial statementsfor the year ended 31 December 2007 show revenues of $4.2m (£2.1m), profitbefore tax of $0.84m (£0.42m). Net assets acquired amounted to $0.25m (£0.13m). The deal represents the next important step in the development of the Yottabusiness. Yotta was founded less than two years ago to exploit core OMGtechnology in the growing market of 3D mapping. The reach of this technology wasfurther extended in July 2007 with the acquisition of UK-based Data CollectionLimited (DCL). This new deal strengthens the business further, by providingYotta with a foothold from which to expand Yotta's 3D mapping business in NorthAmerica. MVS, which is based in Kansas City, Missouri, USA, holds a leading position inthe market for the collection of data for property appraisal. MVS provides fielddata collection services in order to capture high resolution geospatiallyreferenced images of properties for property tax administrators, GIS departmentsand 911 agencies. Employing a total of 42 staff, it operates a fleet of 16field vehicles across the US, and manages a number of long-term contracts withlocal government agencies. The acquisition comprises an initial consideration of $2.5m (£1.25m) of which$1.5m (£0.75m) in cash and $1.0m (£0.5m) in OMG shares and a deferredconsideration of up to $1.5m (£0.75m) in cash and OMG shares. The initial cashconsideration is subject to an adjustment for the closing net assets position.The deferred consideration is subject to MVS meeting minimum revenue targets ofover the next two years. Application will be made for 1,045,671 OMG shares,comprising the initial share consideration, to be admitted to AIM, which isexpected to become effective on 1 May 2008. Nick Bolton, Chief Executive of OMG plc, said, "I am very pleased to be making this acquisition. MVS represents an excitingproposition for Yotta by providing a number of important benefits, including aprofitable platform for expansion in the US and an opportunity to maximise datacollection opportunities, not to mention growing further in its own right. TheMVS team is great and their market knowledge is second to none. Bringing thesebusinesses together gives me further confidence in Yotta's growth prospects bothin the US and globally." Contacts OMG plc 01865 261800Nick Bolton, Chief ExecutivePeter Wharton, Finance Director Financial Dynamics 020 7831 3113Juliet Clarke / Matt Dixon Evolution Securities (NOMAD to OMG) 020 7071 4300Jeremy Ellis Notes to Editors About MVS Mobile Video Services, Inc was founded in 1986. From headquarters in KansasCity, Missouri and field operatives spread across the USA, the Company providesfield data collection services capturing high resolution geospatially referenceimages of properties for property tax administrators, GIS departments and 911Agencies. Mobile Video Services, Inc., specializes in field data verification, addressmatching, and imaging. Using electronic maps and orthophotos, we collect thex-y coordinate for each structure, verify its site address and, optionally, theunit addresses within, and take a street-view image to confirm. Mobile Video's customer base spans an array of both county and city departments,including Tax Assessor/Appraiser, Zoning/Planning, and GIS Mapping. Ourservices also help to meet the specific needs of various public safetydepartments, such as Fire, Law Enforcement, EMS, and Emergency Management. Inessence, groups and organizations which benefit from having immediate access togeo-coded images and data for all properties in a jurisdiction find that MobileVideo can provide thorough, cost-effective, and user friendly solutions andapplications for the workplace. About OMG OMG plc (Oxford Metrics Group. LSE: OMG) is a group of technology companiesproducing image understanding products and services for the entertainment,defence, life science and engineering industries. Be it for capturing themovements of actors (for the movie industry), sportsmen (for video games orimproving team performance), children with Cerebral Palsy, rehab patients andanimals (for medical, life science and research industries) or virtual realitydisplays (for engineering and development), the Group has the world leadingmarket position and a strong international reputation for precision instruments. Founded in 1984, the Group's headquarters are in Oxford, UK, and it has officesin California and Colorado, USA. It has customers in over 50 countries and is aquoted company listed on AIM, a market operated by the London Stock Exchange.The Group trades through three operating subsidiaries - Vicon, the world'sbiggest motion capture and movement analysis company, 2d3, a manufacturer ofspecialised image understanding software for entertainment and defenceapplications and Yotta, our 3D mapping business, which collects and analyseshighway data and street level imaging and which, following the acquisition ofDCL in July 2007, offers the most accurate and complete highway surveyavailable. Oxford Metrics' global clients in science, medicine, sport, engineering, gaming,film, broadcast and 3D mapping include major hospitals and research facilitiessuch as Guy's Hospital, Nuffield Orthopaedic Centre and Loughborough University,engineering industry leaders including Ford Motor Company, BMW, Airbus andToyota, and in the entertainment sector, Sony, Industrial Light and Magic, TheMoving Picture Company (MPC), Sega, Nintendo, UbiSoft, EA, Square Enix and in 3Dmapping and highway surveys: Mouchel Parkman, Atkins, and Oxfordshire, Cumbria,Derbyshire and Pembrokeshire County Councils as well as many others. For more information about OMG and its subsidiaries, visit www.omg3d.com,www.vicon.com, www.2d3.com or www.yotta.tv This information is provided by RNS The company news service from the London Stock Exchange