The board of directors of EPTI AB (publ) ("EPTI" or the "Company") decided on 24 April 2023 to adopt a new strategic direction, which means that EPTI will become a pure investment company with a focus on artificial intelligence...
EPTI AB (publ) has today, through its subsidiary EPTI Factory AB, acquired 100 percent of the shares in the SEO-company Adhype AB. In Q1 2022, the acquired company’s net sales amounted to SEK 1.4 million with an EBITDA result of SEK 1.3 million. During 2022 Adhype is expected to generate net sales of SEK 8.2 million and contribute with an EBITDA result of approximately SEK 7.5 million to EPTI Factory AB. The purchase price amounts to a maximum of approximately SEK 22 million and is paid with a combination of cash and newly issued shares in the parent company EPTI.
“The acquisition makes strategic sense and will contribute to strengthen the Group’s deep operational support within search engine optimization, which is of great importance in the development of digital start- and scaleups. Ahype is a perfect match culturally and technically and we warmly welcome the team to EPTI,” says Arli Mujkic, founder and CEO of EPTI
The purchase price amounts to a maximum of approximately SEK 22 million and is paid with a combination of cash and newly issued shares in the parent company EPTI. Initially, approximately SEK 7 million is paid in cash and approximately SEK 9.5 million is paid with 1,204,055 newly issued shares in EPTI at a price of SEK 7.89 per share. The parties have also agreed on an additional purchase price to be paid six month after the completion of the transaction conditioned that certain conditions are met. The additional purchase price amounts to a total of SEK 5.5 million and includes a combination of SEK 4 million in cash and 190,114 newly issued shares in the parent company EPTI at a price of SEK 7.89 per share, corresponding to a value of SEK 1.5 million. Through the transaction, EPTI's net asset value (NAV) is estimated to increase by SEK 90 million in 2022.
Background and rationale
Adhype was founded in 2017 and has developed into a SEO company with a large share of recurring revenue from customers such as LuckyCasino, Workamo och Glitnor Group. Adhype also owns and operates a number of well-visited sites such as filmtipset.se and casinosajten.com The SEO offering primarily covers advertising, index linking and search engine optimization. For more information, please visit www.adhype.se
EPTI Factory AB is the unit within the the Group that provides deep operational support, i.e. Factory support to EPTI’s portfolio companies be able to build, launch and scale technology business ideas. Through the acquisition, the service unit adds additional SEO know-how, which is expected to contribute to increased traffic and sales within the Group's other portfolio companies. Adhype will operate as a subsidiary within EPTI Factory AB and primarily continue to develop and operate its business with a strong cash flow and also contribute to the development of the Group's portfolio company.
“It is a true pleasure to be a part of the EPTI Group and their ecosystem. Together, we will be able to scale up the Group's portfolio companies more quickly to market-leading companies within their respective niches,” says Fredrik Selin, co-founder, Adhype AB.
For further information, please contact:
Arli Mujkic, CEO, EPTI AB
E-mail: arli@epti.com
Phone: +49 17 66 26 999 64
Adam Bäckström, CFO, EPTI AB
E-mail: adam@epti.com
Phone: +46 73 026 68 26
About EPTI
EPTI invests capital and operational support for companies, entrepreneurs and founders to build market-leading innovative companies under the motto “We Empower Innovation”. As a venture builder, this is done by adding experience from other founders, capital, resources, processes, state-of-the-art technology as well as commercial execution and marketing. EPTI also starts companies and joint ventures with driven co-founders and companies. The companies in EPTI’s portfolio are in the segments Gaming, Fintech, Marketplace, SaaS and Services. Since the start in 2017, a portfolio of more than 25 companies has been built up, of which the majority-owned companies comprise a total of approximately 200 coworkers in seven countries around Europe. EPTI is more than an investment company, it is partly an investment company and partly a service company. A venture builder for founders, by founders.
For more information, see EPTI’s website www.epti.com
The Company’s Certified Adviser is Eminova Fondkommission AB | +46 (0)8-684 211 00 | info@eminova.se