Dubber to buy call recording company CallN

Cloud communications company Dubber is set to purchase call recording company CallN for $1.175 million.

CallN offers local call recording with storage in the cloud with clients predominantly based in Australia.

Dubber chief executive Steve McGovern said the consolidation of the two companies would help accelerate many clients as they move call recording to the cloud, while still supporting their existing solutions as required.

“An opportunity to acquire CallN presented itself as it was divested from a larger ownership structure and, as well as securing accretive revenue,” he said.

“Dubber will also benefit from procuring highly capable personnel in the CallN business with product and technical expertise, as well as existing relationships with some of the channel teams with partnering Service Providers.”

Under the terms of the agreement, Dubber will acquire all of the issued capital of CallN for a purchase price of approximately $1,175,000, payable by way of the issue of approximately 1,066,096 Dubber fully paid ordinary shares and $35,000 in cash.

Of this 75 percent will be paid at completion of the transaction and the balance, subject to post completion adjustments up or down for outgoings, receipts and accruals as at the agreed effective date of 31 May 2020, paid one month after completion.

The Dubber shares will be issued within the Company’s existing ASX listing rule 7.1 issue capacity.

The agreement also includes clauses for pre-completion undertakings, the employment of key personnel by Dubber from completion, post-completion adjustments and obligations, warranties and representations, confidentiality and non-competition/solicitation.

The deal is expected to be finalised by the end of May 2020.