ABU DHABI - Multiply Group confirmed today the completion of its acquisition of a 55% majority stake in Media 247, a leading outdoor advertising firm in the UAE, for AED225 million.
This strategic move follows Multiply Group's announcement in April 2023 regarding its intent to invest, subject to regulatory approvals, which has since been secured.
The acquisition price has been adjusted as a result of the company's strong financial performance during the first half of 2023, where it overachieved its revenue and profitability targets by about 10% and 37%, respectively.
Media 247, known for its extensive portfolio of over 45 exclusive outdoor premium hoardings, unipoles, and 3D structures across Dubai's most prominent locations, further solidifies Multiply Group's position in the media and advertising sector.
The company's diverse service offerings, ranging from media management and printing services to transit media solutions across Dubai's largest taxi fleet, have made it a preferred partner for many top-tier advertisers and agencies both locally and internationally.
Media 247's resilience, especially during challenging times such as the pandemic, further underscores its value proposition and the soundness of Multiply Group's investment decision.
Samia Bouazza, Group CEO and Managing Director at Multiply Group, commented, "Our investment in Media 247 underscores our strategic commitment to grow our verticals by adding high-value assets that yield sustainable recurring returns.
The global media and communications industry, valued at US$2 trillion, is undergoing a seismic shift due to rapid digital transformation, immediate content dissemination, and heightened user engagement, presenting unprecedented growth avenues.
By integrating a majority stake in Media 247, one of the largest in Dubai, into our portfolio – Multiply Media is poised to emerge as a leading integrated multi-brand media powerhouse in the UAE."
"Our vision is clear. We are committed to making continued value accretive investments in this vertical, with the overarching goal of propelling Multiply Media to the appropriate valuation to list on the local stock exchange," she added.
The acquisition of Media 247 aligns with Multiply Group's 'buy and build' strategy, which focuses on acquiring profitable companies, fostering portfolio-wide synergies, driving bolt-on investments, and enhancing scalability and margins.
Multiply operates and invests in four current verticals - Mobility, Energy and Utilities, Media and Communications, and Beauty and Wellness, while Multiply+, its sector-agnostic and opportunistic investment arm, looks to target double-digit returns across asset classes.