Process

Sale of Labyrintti Media to Link Mobility Group

Labyrintti Media is one of the leading mobile solutions (e.g. SMS messaging and mobile payment platform solutions) service providers in Finland. The Company’s business model is based on leveraging their own high-quality platform solutions to meet the various communication and mobile payment needs of their clients. Labyrintti Media’s solutions are all SaaS-based. Typically, the customerships are based on long-term maintenance and usage based contracts. The Company’s clients include e.g. Fortum, VR Track, CGI, Canal Digital.Labyrintti Media’s turnover was approximately EUR 6.0 million (2016) and its EBIT was approximately EUR 1.7 million (2016). Prior to the acquisition of Labyrintti Media, Link Mobility had already established itself in other Nordic countries. After successfully acquiring the Company, Link Mobility secured not only a market leading position in Finland, but also Labyrintti Media Bulgaria’s product development capability.Our main value creation components were:

• Positioning the company in a right way to highlight key value drivers
• Mapping out an extensive list of potential Nordic buyers
• Organized an international auction process
• Transaction structure planning and advising the sellers in share swap

Labyrintti Media, on the other hand, received a strong Nordic owner, which had the knowledge and resources to further scale up the Company’s business. Additionally, Labyrintti Media is now able to offer Link Mobility mobile solution services to the Finnish market.Labyrintti Media’s former CEO Juha Miettinen and Executive Vice President Teemu Lång continue to serve as Executive Vice Presidents.The transaction’s Enterprise Value (EV) was EUR 11 million having sales multiple of 1.8x and EBIT multiple of 6.5x.

Buyer

Link Mobility Group

Link Mobility Group is one the leading European mobile solutions provider. The Company’s corporate service portfolio contains e.g. SMS Gateway solutions, mobile payments, mobile communications, account management, databases and search functions. Link Mobility Gorup employs over 340 people in Finland, Norway, Sweden, Denmark, Bulgaria, Germany, Poland, Spain, France, Switzerland, Italy, Austria and Baltics. Link Mobility’s turnover was approximately EUR 140.0 million in 2017.

Labyrintti MediaLink Mobility Group