(Alliance News) - SG Company Società Benefit Spa announced Wednesday that it has signed a binding agreement to purchase 51 percent of the share capital of Geotag Srl, a company that has been active since 2010 in the field of devising, researching, organizing, producing, managing and disseminating advertising campaigns.

Fifty-one percent of Geotag will be purchased by SG Company for EUR1.1 million, which will be paid in two tranches to the sole shareholder Madiché Srl, a company indirectly owned by shareholders Marco Fontana, Riccardo Verbani and Riccardo Panza, who will be CEO, chairman of the board of directors and managing director and chief operating officer of Geotag, respectively. The agreement between the parties also includes an earn-out clause and the closing of the transaction on Dec. 4.

Geotag, based in Milan, is a "media agency that offers consultancy and tools to plan tailored and measurable communication, specializing in proximity communication through the constant use of geomarketing tools. The company's main clients include Gruppo Selex, UCI, Dental Pro, Big Mat, Beta tools and Forst," SG explains in a note.

As of Dec. 31, 2022, Geotag reported revenues of EUR4.1 million, Ebitda of EUR718,000, negative NFP of EUR1.8 million, and profit of EUR543,000.

SG Company on Wednesday closed in the green by 6.7 percent at EUR0.26 per share.

By Chiara Bruschi, Alliance News reporter

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