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BREAKING NEWS

GoCompare to buy MyVoucherCodes.co.uk for 35 million pounds

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GoCompare to buy MyVoucherCodes.co.uk for 35 million pounds

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(Reuters) – Price comparison website operator GoCompare.Com Group Plc said on Tuesday it agreed to buy The Global Voucher Group, which operates MyVoucherCodes.co.uk, and its units for 36.5 million pounds in cash.

The Global Voucher Group is currently owned by financial technology firm Monitise, which was bought by Fiserv Inc in June.

GoCompare said the deal would be financed through existing cash resources and by extending GoCompare’s existing credit facilities.

The retail voucher provider is one of the Britain’s largest, with eight million e-mail subscribers and about 45 million annual visitors on its website.

GoCompare said MyVoucherCodes’ retail business would be “highly complementary” to its financial services and utilities comparison services, with the combined entity targeting about 100 million website visits every year.

The deal is also expected to add to earnings in 2018 on an underlying basis, GoCompare said.

GoCompare, which last month rejected a 460 million-pound takeover approach made by rival ZPG, also said it expected full-year revenue to rise about 5 percent to 149 million pounds, with adjusted operating profit at the upper end of current market expectations.

Current market expectations for the full-year adjusted operating profit was between 33.9 million pounds to 35.9 million pounds, GoCompare said.

(Reporting by Noor Zainab Hussain in Bengaluru; Editing by Amrutha Gayathri)

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