Wilmington to acquire Interactive Medica

Wilmington, the publishing company, has reached an agreement to acquire the Interactive Medica S.L. group of companies (IM) for €2.8m, with an adjustment for working capital, payable on completion.

IM comes with an estimated €0.6m of cash on completion with further deferred consideration of up to €1.6m, subject to IM achieving revenue targets for the period to 31 December 2019.

The consideration is to be funded from the group's existing debt facilities and the acquisition is expected to complete by 31 January 2018.

IM will sit within Wilmington's healthcare division which remains one of the priority areas for the group's capital allocation.

Interactive Medica is a pan-European provider of cloud-based insight, CRM and KAM offerings to the pharmaceutical industry. It is based in Madrid with offices in Holland, UK, and Sweden. IM's revenue is predominantly subscription based and around 75% of its 2016 revenue came from mainland Europe with the balance from the UK.

IM will increase Wilmington's ability to access other European markets.

The acquisition is expected to be earnings per share enhancing in the first full year of ownership. IM revenue for the 12 months ended 31 December 2016 was €2.2m with EBITA of €45,000. IM's gross assets at 31 December 2016 were €2.2m.

The maximum consideration is €4.5m.

Pedro Ros, chief executive of Wilmington, said: "I am pleased to announce the acquisition of Interactive Medica which represents an exciting opportunity for Wilmington to strengthen its technological capability and expand its growing healthcare presence in Europe. Our market leading UK healthcare business has been built on one of the richest sources of healthcare intelligence available. The addition of IM's proven technology will enhance its value still further by enabling this intelligence to be used even more effectively by our clients."