Vinyl Group has announced plans to acquire Concrete Playground, a digital city guide platform covering events in Sydney, Melbourne, Brisbane, Auckland, and Wellington, for $5 million.

The acquisition deal consists of $3.5 million in cash and $1.5 million in shares (12,676,413 ordinary shares at $0.11833 per share). The shares will be subject to a 12-month escrow period from the issue date. Additionally, $300,000 of the cash consideration will be held in escrow for 12 months as security for potential claims.

Concrete Playground generated over $4 million in unaudited revenues in the past year, with an expected pro-forma EBITDA of $1.5 million at completion. The platform will be integrated into Vinyl Group's media division, potentially accelerating the group's timeline for achieving positive cash flow by six months.

Following the acquisition, Concrete Playground's Founder & CEO Rich Fogarty will exit the company but will assist with the transition period. The deal is expected to complete by February 28, 2025, subject to standard conditions including due diligence, shareholder approval, and regulatory consents.

Josh Simons, Vinyl Group CEO, emphasized the strategic fit of Concrete Playground's trusted platform and storytelling approach with their broader media strategy. Rich Fogarty expressed pride in the platform's 15-year journey and confidence in its future under Vinyl Group's ownership.

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