Youth Asia Sdn Bhd and Media Prima Digital Sdn Bhd, an indirect wholly-owned subsidiary of Media Prima Berhad, are acquiring Malaysia-based REV Asia Berhad, a digital media group, in a deal worth RM105 million ($24.2 million).
With this, REV Asia Holding’s portfolio will be incorporated into Media Prima’s integrated media platforms.
REV Asia Holdings will be supporting Media Prima’s strategy on digital content and media platforms. This bolt-on acquisition will see an established portfolio of online consumer brands that cover a wide variety of segments including entertainment, lifestyle and social-millennial English, Malay and Chinese news added to Media Prima’s holdings.
With this, the combined group reach will touch 10.4 million visitors (5 million pre-acquisition). According to a media release, the merger will enable Media Prima to establish its position as the largest Malaysian digital media company and third overall in Malaysia after Google and Facebook with 15.7 million and 14.1 million visitors respectively.
REV Asia Holding’s Managing Director, Voon Tze Khay commented: “We are excited to be joining the Media Prima family and working together to transform the media landscape in Malaysia. Media Prima are true leaders in Malaysia’s media and television industry with a strong track record of success. Together, we are confident in our ability to expand our reach whilst solidifying our combined position as the number one digital media group in the country”.
Co-founder and Director of REV Asia, Patrick Grove, adds “The sale is a testimony to the strong leadership of Tze Khay and his team. REV Asia Holdings and Media Prima Digital are highly complementary businesses and there is strong strategic rationale underpinning the sale.”
With Media’ Prima’s focus on digital content and its growth prospects, the strategic acquisition of REV Asia Holdings reflects an organisational agenda to capitalise on the growing demand for digital content amongst consumers, coupled with expanded its reach and competencies in digital content marketing, digital content curation and digital native marketing ads.
Encik Rafiq Razali, chief executive of Media Prima Digital, said “Media Prima is expected to derive potential synergistic benefits as the Group can expand its media offerings to general consumers, media buyers, advertisers and premium publishers. REV Asia Holdings is a profitable company that recorded significant digital revenue growth from the company’s Social News segments since 2015.”
“The company specialises in native content-based advertising which garners higher margins and their deep expertise in producing content for the age group is an additional value to Media Prima. This bodes well for the Group as we capitalise on the increasing importance of digital amongst advertisers,” he adds.