ASMALLWORLD AG (SWX:ASWN) announces acquisition of First Class & More25.09.2018
ASMALLWORLD AG / Key word(s): Takeover/Mergers & Acquisitions
ASMALLWORLD AG (SWX:ASWN) announces acquisition of First Class & More, a subscription-based luxury travel community
Jan Luescher, CEO of ASMALLWORLD AG, comments: "We are pleased to announce our first acquisition as a publicly listed company just six months after our listing on the SIX Swiss Stock Exchange. This acquisition is another important step towards realizing our growth strategy, as we are further expanding our subscriber base and service offering. For our members, First Class & More will bring excellent travel content to our community. For our investors, this step confirms our commitment to accelerate our growth ambitions when we have the opportunity to do so and accelerates our path to profitability."
Exercise of call option agreement for First Class & More International GmbH
As announced on May 30, 2018, ASMALLWOLD AG had previously entered into a call option agreement to acquire 100% of First Class & More International GmbH, based in Germany. The company had until November 30, 2018 to exercise such call option.
In line with its publicly communicated intentions, ASMALLWORLD AG announces today that it has exercised this option which will become effective as of October 5, 2018. From this point onwards, First Class & More will be fully consolidated.
For 2018, First Class & More aims to achieve revenues in the mid-single-digit million range with double-digit revenue growth, while achieving significant profit margins.
About First Class & More International
Founded in 2009, First Class & More is a subscription-based luxury travel community operating mainly in the DACH region under its website www.first-class-and-more.de. It is the leading German-speaking insider portal for luxury travel with 60,000 subscribers, of which more than 10,000 have an annual paid subscription.
On top of subscriptions, the company generates revenues through affiliates, its webpages and travel packages. First Class & More's total social media following is above 500,000 followers and it has a respectable and broad press coverage across the DACH region, being recognized as the opinion leader on miles and status programs for airlines and hotels.
Alexander Koenig, Founder of First Class & More, will remain with the company and going forward he will continue to head the international business, while current management remains in place for the existing DACH business.
Alexander Koenig said: "ASMALLWORLD is an ideal partner that will help us grow our business, especially internationally. With its strong travel-oriented community it also offers potential to present our services to an audience with a natural fit with our offering. We're looking forward to introducing our travel content and unique travel opportunities to the ASMALLWORLD community."
The purchase price will be paid through a combination of cash and shares. ASMALLWORLD AG will purchase First Class & More for an immediate payment of EUR 10.5M on execution date plus 820,000 existing shares, provided by ASMALLWORLD's majority shareholder ASW Capital AG. The total acquisition price may increase by up to EUR 7M until 2022, if certain operating target are met.
The new shareholder will have a lock-up period of at least 18 months and will be further broadening the shareholder base of ASMALLWORLD AG with strategic and committed investors.
ASMALLWORLD expects the successful closing of the transaction on October 5, 2018. An announcement will be made once the closing is completed. Further, an upward revision of the full year revenue guidance will be communicated on or around that date.
This press release and further information can be found at www.asmallworldag.com.
ASMALLWORLD a private social network that connects people with shared passion for the good life.
Each year, ASMALLWORLD organises more than 1000 events around the world, where members can expand their private and professional networks. The ASMALLWORLD website and mobile apps offer members the opportunity to engage in discussions, obtain travel advice from the Travel Guides or other members, or meet other members whilst travelling the world. Members also enjoy exclusive privileges from international partners such as status upgrades, discounts and additional services.
Besides the global ASMALLWORLD community, Zurich-based ASMALLWORLD AG operates ASW Travel AG, which provides bespoke travel arrangements for its customers, as well as The World's Finest Clubs AG, which offers its members access to the most exclusive nightlife venues around the world.
End of ad hoc announcement
|Listed:||Regulated Unofficial Market in Berlin, Dusseldorf, Frankfurt, Stuttgart, Tradegate Exchange; SIX Swiss Exchange|
|End of Announcement||EQS Group News Service|