TVC Holdings Sells Interest In ChangingWorlds

TVC Holdings plc, a publicly quoted investment holding company, today (6 November 2008) announced that it has agreed to sell its interest in ChangingWorlds Limited as part of the sale of ChangingWorlds to a wholly owned subsidiary of Amdocs Limited (NYSE:DOX) (“Amdocs”).  Amdocs has signed a definitive agreement to acquire the entire share capital of ChangingWorlds in a cash transaction valued at US$60 million, subject to upward adjustment based on the achievement of certain performance metrics, net cash and post-closing adjustments.  It is anticipated that the deal will close within 30 days.

ChangingWorlds is a leading provider of personalisation solutions for mobile internet data and the creation of in-depth subscriber intelligence for mobile operators.  Over 50 carriers worldwide have implemented ChangingWorlds’ solution including Sprint, Vodafone and O2.

This is TVC Holdings’ third cash realisation following its successful Euro 50 million placing and listing on the AIM Market of the London Stock Exchange and the IEX Market of the Irish Stock Exchange in July 2007.  Under the terms of the deal and assuming the performance criteria are achieved, TVC Holdings will receive a total cash consideration of up to US$16.4m, US$11.6m of which will be paid on completion of the deal, plus an additional sum of up to US$4.8m, part of which is subject to escrow and the remainder of which is subject to performance over the next 2 years. The total consideration payable to TVC Holdings, including escrow and earnout and based on current exchange rates, represents a 3.7 times return on its original investment and a 1.3 times return on the valuation it placed on its investment at 31 March 2008, as reported in TVC’s audited accounts to that date. 

 Speaking today on the sale of its interest in ChangingWorlds, Shane Reihill, Executive Chairman of TVC Holdings, said:

“We are pleased to announce this deal, which is a successful cash exit in the current difficult market conditions.   The sale demonstrates TVC Holdings’ proven ability to deliver successful exits and highlights the value within our existing portfolio of investments.  The proceeds generated will be used to pursue TVC Holdings’ investment strategy in its existing portfolio of companies and to fund new investment opportunities across a range of business sectors, primarily in the UK and Ireland”.