10:09:01
Key drivers of the Scottish New Media industry join forces as DAG acquires Black ID

Digital Animations Group plc (DAG), the pioneer in virtual character technology, announced today that it has acquired interactive design consultancy Black ID in a deal that brings two of Scotland's leading new media brands under one roof.

The acquisition for a total consideration of 2 million new ordinary shares has been under discussion for some time and is the consolidation of a relationship that has evolved through a number of technical projects and creative collaborations over the past two years.

Based on the average closing mid market price of an ordinary share over the past 12 months of 71 pence the maximum consideration payable under the acquisition agreement would equate to £1.42 million.

The deal will significantly boost DAG's aim to bring its virtual character technology to e-business. Having developed software applications to humanise online communications and information portals, Black ID's existing international client list and creative track record provides DAG with a direct route to market.

For Black ID, which under the terms of the agreement becomes a 100% subsidiary of DAG, the deal provides the access to technology and resources that will allow it to significantly differentiate its position in an increasingly competitive industry and access to potential investment to grow against a volatile global backdrop. Gordon Black, the sole proprietor of Black ID, remains as managing director to develop the new joint offering and drive forward a distinct business platform that combines the strengths of both companies.

Commenting on the acquisition the CEO of Digital Animations Group, said:

"I am delighted that we have succeeded in bringing Black ID into the Digital Animations Group. I recognise in Gordon Black the creative spirit for innovation and the determination to succeed, which I feel are vital in our business. In addition to this, there is a synergy between our two companies and complementary expertise that supports DAG's business strategy to extend its market reach into e-business".

"With Black ID's brand name and expertise we can deliver a more humanised e-business strategy to large corporate clients. Virtual characters within the online business and entertainment environment means easy interaction for the consumer, effective information provision and CRM (customer relationship management) programmes as well as differentiation in a very competitive market. Combining our skills makes perfect commercial sense".

"I am particularly encouraged by the evidence of Black ID's strong performance in the last quarter. The company's recent successes within the finance and telecomm sector provide the springboard to go forward together."

Gordon Black, managing director of Black ID, said:

"To have the investment and resources of DAG behind us give Black ID a clear and definitive edge over other web providers. Going forward, access to DAG's real-time tools and virtual characters will enable us to develop new and enterprising solutions for clients and expand our own horizons. DAG is a company that thinks and acts globally: after more than a year in discussion, I am delighted to be part of that vision."

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