Acquisition of Promotional Payments Solutions

Earnings enhancing acquisition brings new enterprise customers and expands Eagle Eye's offering to include real-time CPG couponing

Eagle Eye, a leading SaaS and AI technology company that creates digital connections enabling personalised, real-time marketing at scale, is pleased to announce the acquisition of Promotional Payments Solutions Limited ("Promotional Payments Solutions"), a Dublin-based SaaS company specialising in digital promotions and loyalty solutions for enterprise retailers and consumer packaged goods ('CPG') companies (the "Acquisition") for a net consideration of €5.5 million.

Highlights of the Acquisition

Promotional Payments Solutions overview

Founded in 2014 and headquartered in Dublin, Ireland with a team of 20 people, Promotional Payments Solutions has developed a real-time digital marketing platform for managing and processing both retailer and CPG coupons across the UK and the Republic of Ireland. It has an established position in the UK and Irish markets with long-standing customer relationships.

Current clients of Promotional Payments Solutions include Musgrave Group, Ireland's leading food retail, wholesale, convenience and foodservice company, The Co-operative Group and Tesco UK, in addition to many of the world's leading CPG companies.

Promotional Payments Solutions' core functionality includes PromoPay, a real time transaction engine similar to the Eagle Eye AIR platform, supporting promotions, loyalty and gifting, and PromoBase, a national database covering all national 99-code* coupons issued and redeemed across the UK and Ireland, complete with qualifying product-level data. The digital PromoBase solution solves common challenges for both retailers and manufacturers running CPG promotions, namely by preventing mis-use and fraud, by significantly reducing historically lengthy settlement times, enabling fast reimbursement to retailers, and providing real-time promotion performance data to CPGs.

Promotional Payments Solutions is profitable and cash-generative. In the year ended 31 December 2024, Promotional Payments Solutions generated unaudited total revenues of €3.96m, SaaS revenue of €3.2 million and EBITA of €0.9m, with net assets of €5.2m.

Acquisition rationale

The Acquisition brings new enterprise customers into the Group, adding to Eagle Eye's roster of major retailers, deepens the existing relationship with two current Eagle Eye customers, through non-overlapping services, and provides access to major global CPG brands.

The Acquisition delivers a new, complementary solution in PromoBase, for which Eagle Eye believes there are further growth opportunities within the Group's existing UK retail customers, with the potential for expansion into other markets over time.

Promotional Payments Solutions' core team will join the Group, including Promotional Payments Solutions' CTO, Les Carter, with the current Executive Chair, Neil Cooke, and CEO, Rory Meehan, moving to consultancy roles.

The Acquisition is expected to be immediately accretive to earnings per share, with annual cost synergies at completion of €0.3 million, and further cost synergies anticipated over time.

Notice of full year trading update

The Company expects to announce a trading update for the financial year ending 30 June 2025 on 15 July 2025.

Tim Mason, CEO of Eagle Eye, commented, "We are excited to welcome Promotional Payments Solutions and its customers to the Eagle Eye family. Promotional Payments Solutions' capabilities in real-time couponing are a strong addition to our AIR platform, in an area of growing interest to retailers and brands. Its track record and long-standing relationships speak to the quality of the team and offering and Rory, Les and Neil's successful stewardship of the business to date. We are excited by the new avenues for growth the acquisition represents, as we seek to scale our business and deliver on our growth ambitions."

Rory Meehan, CEO of Promotional Payments Solutions, said: "Over the past decade, we've built Promotional Payments Solutions into a trusted provider of digital promotions and real-time coupon redemption and reconciliation for some of the UK and Ireland's leading retailers and brands. As the market continues to grow, we recognised that now was the right time for a new home for the business, providing the ability to accelerate growth. The alignment in values, ambition, and technology between Promotional Payments Solutions and Eagle Eye gives us great confidence that the team, customers, and platform will continue to thrive as part of the Group, a known global leader in digital marketing technology."

*National 99-codes are the alphanumeric codes associated with a certain discount