This acquisition continues Taylor Nelson Sofres’ strategy of reinforcing its global position in the provision of market information services.
Founded in 1945, MDC’s main strength lies in the media sector. It operates extensive syndicated media services, including television, radio and web audience measurement, national readership surveys and multi-media tracking across the region, as well as monitoring advertising expenditure and measuring advertising effectiveness. MDC also offers a full range of market information services, specialising particularly within the industry sectors of fmcg, telecoms, financial services, automotive and opinion research. In 2000, it extended its operations into the healthcare sector. The group has well-established client relationships with the leading local companies and the multinationals active in the region.
With over 650 employees, MDC’s EBITDA for the year ended 31 March 2000 was
EUR 3.6 million (£2.3 million) on turnover of EUR 30.7 million (£19.3 million) and net assets at that date were EUR 5.7 million (£3.6 million). Those net assets included debt of EUR 9.1 million (£5.7 million), which will be settled as part of the cash consideration. Over 50 per cent of turnover was obtained from continuous research. Completion is subject to approval from the Finnish competition authorities, which is expected within a month. The senior management team will remain with the business.
Commenting on the acquisition, Tony Cowling, Chairman of Taylor Nelson Sofres, says: This move provides us with a strong base in the Russian market, which we believe has significant growth potential, as well as other developing economies in the region. It brings to the group the local expertise that will be so vital in taking advantage of that growth. We are acquiring the market leader in Finland, complementing our leading position in Denmark and Norway and creating the largest group of market information companies in the Nordic area.
MDC’s market leading position in media measurement in all its countries of operation reinforces our media monitoring expertise in Europe and the US and offers further potential for us to develop this growing sector on an international basis.
We have worked with MDC for many years through the Gallup International Association and we are well aware of the expertise and professionalism of its management. Bringing MDC into Taylor Nelson Sofres has been a long-term ambition and we are very pleased to welcome this highly respected company into our group.
Jouko Jokinen, CEO of MDC adds: Having built up a strong position in our chosen markets, we can now offer our clients the benefits of access to the Taylor Nelson Sofres global network and range of world-leading branded solutions. We also gain the opportunity to market the products we have developed on an international scale and to strengthen our expertise in our specialist sectors.
