System1 Group PLC and Trebia Acquisition Corp (NYSE: TREB) announced a conclusive arrangement for a commercial grouping that would consequence in System1 becoming a visibly listed company.
Joint company to be called System1 Group, Inc.
Upon finishing the deal, the joint business will be called System1 Group, Inc. and is projected to be registered on the NYSE and trade under the novel ticker symbol “SST.”
Initiated in 2013, System1 has advanced a branded end-to-end responsive attainment marketing platform (RAMP) which the company usages to obtain intent-driven clienteles on behalf of its marketing associates and its products. The company drives a collection of over 40 digital properties that help over 120mm regular visitors circumnavigate their everyday lives and include, among others, MapQuest, Startpage, HowStuffWorks, info.com, and CarsGenius.
Simultaneous with this deal, System1 will be uniting with Protected.net, a leading designer of safety and privacy payment products with over 2 million disbursing subscribers. The purchase allows System1 to grow its privacy-focused yields and further expand its business model. The joint business is idyllically located for the privacy-centric future of digital marketing.
The company’s RAMP platform has permitted it to scale its trade to an estimated $120 million billings-based Adjusted EBITDA this year. Between 2018 and 2022, System1 presumes to grow its billings-based income at a 31% compound yearly growth rate, with billings-based EBITDA growth slightly faster at 32% over the same period. The trade grew during the epidemic despite the significant disturbance in the online advertising industry as a whole.
Deal Synopsis
The deal is expected to provide about $175 million of cash, supposing no recoveries by TREB’s public shareholders. These profits will be used to continue to fund the company’s growth enterprises, invest in the company’s RAMP platform, and for purchases.
The $518 million of cash held in Trebia’s trust account is backstopped by the $200 million equity pledge from Cannae, together with $218 million of the BofA Safeties debt pledge, which will be employed as a backstop for possible future redemptions by Trebia public shareholders.
The post-money enterprise worth of the united company is $1.4 billion at the $10.00 per share price.