§ Buyout of remaining 20% non-controlling minority interest for low single-digit million euro amount
§ Next strategic step in improving customer services and facilitating further sales growth opportunities
§ Two former co-founders and directors of the U.K.-based company have left the Group
CLIQ Digital AG (CLIQ.DE, ISIN: DE000A0HHJR3, WKN: A0HHJR), a global streaming provider specialising in the direct marketing of affordable entertainment products, offering its members unlimited access to music, audiobooks, sports, movies and games, announces its next strategic step to take full control of the operations of Red27 Mobile Ltd.. The company has signed the buyout of the remaining non-controlling 20% minority shareholding from two former co-founders and company directors, who have now left the Group. The consideration totals a low single-digit million euro amount.
The principal business activity of the London-based Group company Red27 Mobile is selling digital entertainment products for smartphones via performance marketing on mobile channels.
The global smartphone market is an advanced and attractive market for streaming entertainment services. The further development of multi-content portals in parallel to single-content portals will make CLIQ more relevant to consumers and facilitate the targeted market positioning as a niche player.
The goal of the buyout is to take full control of the mobile content operations, which will contribute to greater effectivity and an optimised business development. In addition, content and portal expansion will speed up, facilitating further sales growth opportunities. Furthermore, both internal and external communications will be expanded and improved with particular focus on customer care. Red27’s customer service was recently transferred to experienced CLIQ Digital customer relationship managers located in Amsterdam. The previous local guidelines and solution were not in line with the Group’s customer care policy and guidelines. CLIQ’s Management Board identified this issue and transferred full responsibility to senior HQ staff.
Statement from Ben Bos, member of the Management Board:
“Luc and I have been focussing our attention and reviewing the situation at Red27 for a while now. We are therefore very pleased to now take over full control of these operations and enable Red27 to expand its product portfolio, step up its growth plans and create considerably more value for both its customers and its shareholders. We would like to thank both Alex Rooke and Richard Keeley for their contributions and growing the company over the last 4 years.”