Deepbridge Capital investee company acquires iconic American company
Deepbridge Capital, the tax-efficient investment manager, has today (24th September 2019) announced its investee company, Afin Technologies (formerly SurveyMe), has acquired Entertainment – the Michigan-based promotional discounts company.
The deal will see the creation of a business fully focused on the North American couponing market providing new investment to what is seen as a traditional American pastime.
Deepbridge Capital has to date provided over £7m of funding to Afin Technologies via its Deepbridge Technology Growth Enterprise Investment Scheme (EIS) fund.
Entertainment is a provider of local and national discount promotions throughout the US and Canada. The deal means Afin Technologies will take over operation of the Company, which connects businesses to consumers by offering promotional offers via physical coupons in its Book, and through its Entertainment mobile app.
As part of the acquisition, Afin will also take on new investment from Deepbridge Capital in the UK, as well as investors in the US. This will support the creation of 50 new jobs in Troy, MI, and 10 new jobs at Afin’s UK base in Stockport, UK. Entertainment currently employs 77 people at its base close to Detroit.
The deal follows the US launch of Afin’s app Buxbo, which offers a social gaming approach to couponing aimed at a young adult audience where users team up to earn the best discounts. Buxbo is a digital marketing platform that allows brands to help influence consumer-buying decisions by putting their brand and an offer on the customer’s phone.
By acquiring Entertainment, Deepbridge said it will help Afin consolidate its place in the mobile couponing market while the original business will be reinvigorated by new management and a new approach.
Ian Warwick, managing partner at Deepbridge Capital, commented:
“We are delighted to continue to support Afin Technologies on this next step of their journey. The acquisition of Entertainment promises to be great news for both parties, with the creation of new jobs and the introduction of a dynamic approach to the coupon market. This deal reflects our commitment to working with our investee companies in a hands-on style with the aim of maximum opportunities for our investors.”
Lee Evans, CEO at Afin Technologies, added:
“Technology has moved on from the coupon books of the past, but American consumers are still passionate about saving money. We’re looking forward to connecting businesses with the right customers in a way that benefits them both.”