Digital360’s Acquisition of XONA

Marval O’Farrell Mairal advised Digital360 on the transaction

Digital360 S.p.A. have signed a binding agreement for the acquisition of a 51% stake in EMPRENDIMIENTOS AEREOS S.R.L. (XONA).

XONA is a marketing agency based in Buenos Aires with a specific focus on the tech market. Their specialized skills, distinctive creativity and strong positioning in the LATAM market qualify the company to work with some of the main companies in the area (including some important vendors in the world of Information & Communication Technology), providing services ranging from communication to the organization of events (both in presence and digital), from content strategy to PR activities.

With this first acquisition, DIGITAL360 enters a huge market with great potential for development, that of LATAM, characterized by multiple factors of interest to the Group: a similarity of the local digital market with the Italian one (on the one hand a delay in the digitization of companies and public administrations and a presence of many SMEs, on the other hand the central role on the market of the same technological Vendors); a strong expected growth of digitization, thanks to the cultural impulse deriving from the pandemic and the arrival of substantial public funds for the relaunch of the economy; a favorable competitive context, very fragmented and lacking operators with significant market shares; multiple countries sharing the Spanish language, thus allowing the creation of a single shared team and platform.

The acquisition of XONA launches an ambitious path of international expansion to replicate the development model already successfully experimented by DIGITAL360 in Italy. This is based both on significant organic growth and on the acquisition and integration of numerous businesses, with the final objective of consolidating highly fragmented markets.

This ambitious international expansion project is founded on the Group’s strength from this experience and aggregative capacity demonstrated with significant investments in technical platforms used in other countries.

XONA, whose financial statements close on 31 March each year, recorded revenues of approximately USD 1.3 million in the last financial year with an EBITDA of approximately USD million0,1.

XONA’s activities, despite the continuing pandemic, are progressing positively during 2022.

Per the agreement, 51% of the shares will be sold for a consideration of EUR 395,000, payable in cash at the time of closing.

Marval O’Farrell Mairal advised Digital360 on the transaction with a team including Pablo García Morillo (Picture) Enrique Mariano Stile, Mariano Martin Morat, Martin Emiliano Guala and Luciana Florencia Collia.

Involved fees earner: Luciana Florencia Collia – Marval, O’Farrell & Mairal; Pablo García Morillo – Marval, O’Farrell & Mairal; Martin Emiliano Guala – Marval, O’Farrell & Mairal; Mariano Martin Morat – Marval, O’Farrell & Mairal; Enrique Stile – Marval, O’Farrell & Mairal;

Law Firms: Marval, O’Farrell & Mairal;

Clients: Digital360 S.p.A.;

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Author: Ambrogio Visconti