KUALA LUMPUR: Catcha Digital Bhd
's wholly-owned subsidiary iMedia Asia Sdn Bhd will be making equity acquisitions in two companies that are expected to improve the profitability of the group.
In a statement, the group said it will acquire the remaining 49% equity interest of Ittify Sdn Bhd it does not already own for RM3.43mil, paid in two tranches over two years.
Ittify is an influencer platform in Malaysia, which served more than 100 brands with seven thousand influencers on its platform.
Catcha Digital will also acquire 30% equity interest in Headline Media Sdn Bhd for RM1.24mil, paid in two tranches two years, with an option to acquire another 50% equity interest in the company within 36 months.
Headline Media owns and operates WeirdKaya, one of the fastest-growing English language websites in Malaysia, as well as emerging Chinese and Malay language sites, WeirdKaya BM, LokLokWords and EzLokal.
“We expect these acquisitions to contribute positively to our earnings and overall business in the future.
"Our mission is to build a leading digital group in Southeast Asia and we will continue to pursue investments and acquisitions that are earnings accretive,” said Patrick Grove, chairman of Catcha Digital.
Catcha Digital CEO Eric Tan said the addition of Headline Media will strengthen its English language network and offer a more comprehensive advertising solution to its clients.
He added that Ittify continues to grow, with a profit after tax of about RM530,000 in the six months ended June 30, 2023.
