VCI Global Moves to Acquire Award-Winning Digital Marketing Firm in Singapore
VCI Global (NASDAQ: VCIG) has announced plans to acquire Roots Digital Pte. , a Singapore-based digital marketing firm, for approximately US$2.2 million at a P/E ratio of 3.5. Roots Digital demonstrated strong performance with US$3 million in revenue and US$0.9 million in profit in 2024, achieving 84% year-on-year revenue growth over three years.
The acquisition target specializes in performance marketing and maintains a 24-month average client retention rate. Roots Digital serves prominent clients including the National University Cancer Institute Singapore, Microsoft , and is a pre-approved vendor under IMDA's Productivity Solutions Grant.
This strategic move strengthens VCI Global's digital marketing capabilities and Singapore market presence, aligning with the projected growth of the global digital marketing market, which is expected to reach US$1.2 trillion by 2033 with a CAGR of 11.22% from 2025 to 2033.
VCI Global (NASDAQ: VCIG) ha annunciato l'intenzione di acquisire Roots Digital Pte., una società di marketing digitale con sede a Singapore, per un importo di circa 2,2 milioni di dollari USA con un rapporto P/E di 3,5. Roots Digital ha dimostrato una forte performance con 3 milioni di dollari di entrate e 0,9 milioni di dollari di profitto nel 2024, raggiungendo una crescita annua del fatturato dell'84% in tre anni.
Il target di acquisizione è specializzato nel marketing delle performance e mantiene un tasso medio di retention dei clienti di 24 mesi. Roots Digital serve clienti di rilievo, tra cui il National University Cancer Institute Singapore e Microsoft, ed è un fornitore pre-approvato nell'ambito del Productivity Solutions Grant dell'IMDA.
Questa mossa strategica rafforza le capacità di marketing digitale di VCI Global e la sua presenza nel mercato di Singapore, allineandosi con la crescita prevista del mercato globale del marketing digitale, che si prevede raggiunga 1,2 trilioni di dollari USA entro il 2033 con un CAGR dell'11,22% dal 2025 al 2033.
VCI Global (NASDAQ: VCIG) ha anunciado planes para adquirir Roots Digital Pte., una empresa de marketing digital con sede en Singapur, por aproximadamente 2.2 millones de dólares EE. UU. con un ratio P/E de 3.5. Roots Digital mostró un rendimiento sólido con 3 millones de dólares en ingresos y 0.9 millones de dólares en ganancias en 2024, logrando un crecimiento de ingresos del 84% interanual en tres años.
El objetivo de adquisición se especializa en marketing de rendimiento y mantiene una tasa media de retención de clientes de 24 meses. Roots Digital atiende a clientes destacados, incluyendo al National University Cancer Institute Singapore, Microsoft, y es un proveedor preaprobado bajo el Productivity Solutions Grant de IMDA.
Este movimiento estratégico fortalece las capacidades de marketing digital de VCI Global y su presencia en el mercado de Singapur, alineándose con el crecimiento proyectado del mercado global de marketing digital, que se espera que alcance 1.2 billones de dólares EE. UU. para 2033 con una CAGR del 11.22% de 2025 a 2033.
VCI Global (NASDAQ: VCIG)는 약 220만 달러에 싱가포르에 본사를 두고 있는 디지털 마케팅 회사인 Roots Digital Pte.를 인수할 계획을 발표했습니다. Roots Digital은 2024년에 300만 달러의 수익과 90만 달러의 이익을 기록하며 연평균 수익 성장률 84%를 달성하는 강력한 실적을 보였습니다.
인수 대상은 퍼포먼스 마케팅을 전문으로 하며, 24개월 평균 고객 유지율을 유지하고 있습니다. Roots Digital은 National University Cancer Institute Singapore, Microsoft 등 유수의 고객을 보유하고 있으며, IMDA의 생산성 솔루션 보조금의 사전 승인 공급업체입니다.
이번 전략적 결정은 VCI Global의 디지털 마케팅 역량을 강화하고 싱가포르 시장에서의 존재감을 높이며, 글로벌 디지털 마케팅 시장이 2033년까지 1.2조 달러에 이를 것으로 예상되고 2025년부터 2033년까지 연평균 성장률 11.22%를 기록할 것으로 예상되는 것과 일치합니다.
VCI Global (NASDAQ: VCIG) a annoncé son intention d'acquérir Roots Digital Pte., une société de marketing digital basée à Singapour, pour environ 2,2 millions de dollars américains avec un ratio C/B de 3,5. Roots Digital a montré une performance solide avec 3 millions de dollars de revenus et 0,9 million de dollars de bénéfices en 2024, atteignant une croissance des revenus de 84 % d'une année sur l'autre sur trois ans.
La cible d'acquisition se spécialise dans le marketing de performance et maintient un taux moyen de fidélisation des clients de 24 mois. Roots Digital dessert des clients de premier plan, y compris le National University Cancer Institute Singapore et Microsoft, et est un fournisseur pré-approuvé dans le cadre du Productivity Solutions Grant de l'IMDA.
Ce mouvement stratégique renforce les capacités de marketing digital de VCI Global et sa présence sur le marché de Singapour, s'alignant avec la croissance projetée du marché mondial du marketing digital, qui devrait atteindre 1,2 trillion de dollars américains d'ici 2033, avec un TCAC de 11,22 % de 2025 à 2033.
VCI Global (NASDAQ: VCIG) hat Pläne angekündigt, Roots Digital Pte., ein in Singapur ansässiges Unternehmen für digitales Marketing, für etwa 2,2 Millionen US-Dollar bei einem KGV von 3,5 zu übernehmen. Roots Digital zeigte eine starke Leistung mit 3 Millionen US-Dollar Umsatz und 0,9 Millionen US-Dollar Gewinn im Jahr 2024 und erzielte ein Umsatzwachstum von 84 % im Jahresvergleich über drei Jahre.
Das Übernahmeziel ist auf Performance-Marketing spezialisiert und hält eine durchschnittliche Kundenbindungsrate von 24 Monaten. Roots Digital bedient prominente Kunden, darunter das National University Cancer Institute Singapore und Microsoft, und ist ein vorab genehmigter Anbieter im Rahmen des Productivity Solutions Grants der IMDA.
Dieser strategische Schritt stärkt die digitalen Marketingfähigkeiten von VCI Global und dessen Präsenz auf dem Markt in Singapur. Dies steht im Einklang mit dem erwarteten Wachstum des globalen Marktes für digitales Marketing, der voraussichtlich bis 2033 einen Wert von 1,2 Billionen US-Dollar erreichen wird, mit einer jährlichen Wachstumsrate von 11,22 % von 2025 bis 2033.
- Acquisition target shows strong financials: US$3M revenue, US$0.9M profit (2024)
- High growth rate: 84% year-over-year revenue growth over past 3 years
- Attractive acquisition valuation at 3.5x P/E ratio
- Strong client retention rate of 24 months
- Pre-approved vendor status for government grants in Singapore
- None.
Insights
This acquisition represents a strategically sound and financially prudent move by VCI Global. The purchase price of
The deal structure reveals three key strategic advantages:
- Market Entry Vehicle: Provides immediate access to Singapore's sophisticated digital marketing landscape with an established client base
- Cross-selling Opportunities: Enables integration with VCI's existing IPO consultancy and AI services, creating potential revenue synergies
- Government Recognition: IMDA vendor status offers competitive advantages in securing SME clients through grant accessibility
The 24-month average client retention rate significantly exceeds industry standards (typically 12-18 months), indicating strong service quality and client relationships. This stability provides a solid foundation for upselling VCI's broader service portfolio.
Looking at market dynamics, the projected
However, investors should monitor integration execution, particularly in maintaining Roots Digital's operational autonomy while leveraging group-wide synergies. The relatively small acquisition size mitigates financial risk while providing meaningful upside potential through cross-selling and market expansion opportunities.
This Acquisition Strengthens VCI Global’s Digital Marketing Capabilities While Enhancing the Company’s Presence in the Singapore Market
KUALA LUMPUR, Malaysia, Jan. 23, 2025 (GLOBE NEWSWIRE) -- VCI Global Limited (NASDAQ: VCIG) (“VCI Global,” or the “Company”), today announced that it is advancing the acquisition of Roots Digital Pte. Ltd. (“Roots Digital”), a digital marketing firm, marking its entry into Singapore. The acquisition, valued at approximately US
Roots Digital is an award-winning digital agency that specializes in performance marketing across various digital channels. The digital marketing firm distinguishes itself from competitors by reducing customer churn and maintaining an average retention rate of 24 months. The firm primarily serves clients in Malaysia and Singapore, including well-known names such as the National University Cancer Institute, Singapore (NCIS), Microsoft Corporation, Parkway College of Nursing and Allied Health, and Orita Sinclair School of Design & Music, among others. Additionally, Roots Digital is pre-approved vendor under the Infocomm Media Development Authority’s (IMDA) Productivity Solutions Grant (PSG), enabling it to help eligible local SMEs secure up to
The acquisition opens-up new opportunities for both VCI Global and Roots Digital, fostering synergies and expanding market presence in Singapore. Through this acquisition, VCI Global strengthens its capabilities in areas like SEO, paid media, and social media advertising, while enhancing its footprint in the Singapore market. By Combining VCI Global’s expertise with Roots Digital regional insights, the strategic move is set to deliver substantial ROI for the clients across key industries.
The global digital marketing market is projected to grow to approximate US
“With this acquisition, we are excited to expand in Singapore, with this move paving the way for future acquisitions that will broaden our offerings and add greater value to clients. The acquisition also serves as a strategic move that will synergize our other key strengths, such as IPO consultancy and AI-related services,” said Dato’ Victor Hoo, Group Executive Chairman and CEO of VCI Global.
About VCI Global Limited
VCI Global is a diversified holding company headquartered in Kuala Lumpur, Malaysia. The Company operates through five core businesses: Capital Market Consultancy, Fintech, Real Estate, AI & Robotics, and Cybersecurity. In Capital Market Consultancy, we provide IPO solutions, investor relations (IR) and public relations (PR) consultancy, and M&A consultancy. Our Fintech arm offers a proprietary financing platform. In Real Estate, we offer specialized real estate consultancy services. The AI business delivers GPU servers, GPU cloud computing services, AI and large language model (LLM) solutions, while the Robotics segment focuses on post-harvest robotics systems. Our Cybersecurity segment provides comprehensive cybersecurity consultancy services and solutions. Committed to fostering innovation and delivering exceptional value, VCI Global has established a strong presence across the Asia-Pacific region, the United States, Europe, and the Middle East, driving growth and transformation on a global scale.
For more information on the Company, please log on to https://v-capital.co/.
About Roots Digital Pte. Ltd.
Roots Digital Pte. Ltd. is a digital marketing company, operating in Singapore, servicing clients mainly from Singapore and Malaysia. The Company obtains its business by providing various services including digital advertising, search engine optimization, web maintaining, web designing and more. It is also a certified Google Partner, specializing in Search, Display, Mobile, and Video Ads.
For more information about Roots Digital, please visit: https://www.rootsdigital.com.sg/.
Cautionary Note Regarding Forward-Looking Statements
This press release contains forward-looking statements that are subject to various risks and uncertainties. Such statements include statements regarding the Company’s ability to grow its business and other statements that are not historical facts, including statements which may be accompanied by the words “intends,” “may,” “will,” “plans,” “expects,” “anticipates,” “projects,” “predicts,” “estimates,” “aims,” “believes,” “hopes,” “potential” or similar words. These forward-looking statements are based only on our current beliefs, expectations, and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks, and changes in circumstances that are difficult to predict and many of which are outside of our control. Therefore, you should not rely on any of these forward-looking statements. Actual results could differ materially from those described in these forward-looking statements due to certain factors, including without limitation, the Company’s ability to achieve profitable operations, customer acceptance of new products, the effects of the spread of coronavirus (COVID-19) and future measures taken by authorities in the countries wherein the Company has supply chain partners, the demand for the Company’s products and the Company’s customers’ economic condition, the impact of competitive products and pricing, successfully managing and, general economic conditions and other risk factors detailed in the Company’s filings with the United States Securities and Exchange Commission (“SEC”). The forward-looking statements contained in this press release are made as of the date of this press release, and the Company does not undertake any responsibility to update the forward-looking statements in this release, except in accordance with applicable law.
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FAQ
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