Chime eyes sports marketing growth with 18.23m takeover of Essentially

BRITISH marketing services group Chime Communications said yesterday that it has agreed to buy Essentially Group for &pound;18.23m to boost its sports-marketing business.<br /><br />Based on FTSE Small Cap firm Chime&rsquo;s Monday closing price of 177.75p, the offer values each Essentially share at 8.08p, a premium of about 7.7 per cent to Essentially&rsquo;s closing price of 7.5p.<br /><br />Chime, which is chaired by public relations guru Sir Tim Bell, is the parent company of firm Bell Pottinger, while Essentially is a sports marketing, media and services company with business activities centered on rugby and cricket.<br /><br />&ldquo;The Essentially satellite offices in India, South Africa, Australia and New Zealand will enhance Chime&rsquo;s existing business in the Commonwealth sports area,&rdquo; the companies said in a statement.<br /><br />Chime expects the deal to add to its earnings in the first full year after acquisition and before taking account of one-off costs relating to the acquisition and amortisation of intangible assets.<br />