Interactive Investor

Gloo Networks IPO targets £1 billion acquisition

28th July 2015 14:13

Lee Wild from interactive investor

A new company set up by two digital media experts is raising £30 million as part of a float on London's AIM next month. Backed by successful tech investor Marwyn, Gloo Networks wants to buy trusted consumer brands in the media sector worth as much as £1 billion.

Gloo was created at the beginning of 2015 by digital media and product development expert Rebecca Miskin. Until recently, she was developing digital strategies at Hearst Magazines UK, publisher of Cosmopolitan, Men's Health and gossip mag All About Soap. Previously she was a big hitter at Reed Elsevier, IPC Media and NBC Universal in the US.

CEO Miskin is joined by chief product and operations officer, Juan Lopez-Valcarcel. He worked at NBC, too, as vice president for Digital in New York, and also spent time as chief digital officer at FTSE 100-listed education giant Pearson.

"Their expertise in the use of technology and data analytics with reference to media brands represents a significant opportunity for value creation," says Robert Ware, chairman of Marwyn , which has a strong track record of tech investing and recently booked a big profit on part of its stake in Peppa Pig firm Entertainment One.

"Gloo intends to acquire businesses with leading brands and, through data and technology, release and transform their real potential," explains Miskin.

"The convergence of the internet and media sectors has created multiple investment opportunities with numerous companies or businesses identified within Gloo's target universe," adds the firm.

Translated, that could refer to digital, video, magazines, newspapers, etc, and with a specific focus on the UK and US. Of course, to buy businesses worth between £250 million and £1 billion, Gloo will have to go back to the market - the £30 million is expected to receive "strong backing from major institutional investors", but will only cover due diligence costs and keep the company running until it makes its first acquisition.

It should IPO mid-August after which acquisition speculation will begin.

This article is for information and discussion purposes only and does not form a recommendation to invest or otherwise. The value of an investment may fall. The investments referred to in this article may not be suitable for all investors, and if in doubt, an investor should seek advice from a qualified investment adviser.