KUALA LUMPUR (March 7): Catcha Digital Bhd announced that it had concluded its acquisition of iMedia Asia Sdn Bhd for RM43.92 million, which was satisfied in cash and shares.

"Catcha Digital now owns fast-growing integrated digital media solutions provider, with an extensive portfolio of digital marketing platforms, reaching 12.7 million Malaysians a month and servicing over 100 brands a year spanning across various industries," it said in a statement on Tuesday (March 7).

According to a Bursa Malaysia filing, 40 million shares were issued and allotted at 25 sen each to the vendors, namely Catcha Investments Ltd and iCreative Asia Sdn Bhd.

The group is also expected to have its Guidance Note 2 (GN2) status lifted after the completion of the final step in its regularisation plan, which involves a proposed rights issue that may raise up to RM41.04 million.

It has secured an undertaking from its major shareholder Catcha Group to subscribe for a minimum of RM18 million in the proposed rights issue, it said.

“We will accelerate our growth and continue pursuing highly accretive investment opportunities that align with our strategic goals,” said Catcha Digital.

“Our goal is to attract the best digital and software companies to work with us and consolidate our industry to be the leader in Southeast Asia.”

Catcha Digital chairman Patrick Ykin Grove said: “I have worked with the team behind iMedia for over 20 years, and I am confident that the integration of the vast reach and capabilities of iMedia will accelerate Catcha Digital to be at the forefront of the digital media arena in Malaysia and then Southeast Asia. The tremendous growth in profit over the last financial year shows that the team and strategy are executing the strategic plan exceptionally well.”

Meanwhile, iMedia chief executive officer Voon Tze Khay said: “We will continue to partner with, invest in and acquire synergistic digital businesses to strengthen our ecosystem of products and solutions.

“We are very excited to build on our extensive experience in the digital media space and continue to offer comprehensive and integrated digital media solutions to all clients as they embark on their digital transformation journey. The closing of this transaction represents a new chapter in the iMedia journey, and we believe the best is yet to come.”

Catcha Digital’s share price closed 1.5 sen or 7.14% higher at 22 sen. Its market capitalisation was RM30.29 million.