INFOMEDIA TO ACQUIRE 50% OF INTELLEGAM - AN ENTREPRENEURIAL AUTOMOTIVE AI STARTUP IN EUROPE

SYDNEY, Feb. 14, 2025 /PRNewswire/ -- Infomedia Ltd (ASX: IFM) is pleased to announce that it has entered into a binding agreement to acquire 50% of European AI startup, Intellegam GmbH (Intellegam), for a purchase price of ~A$10^[1] million. This is a strategic move that will accelerate our innovation agenda and unlock product-led growth across our global data ecosystem. This partnership combines Infomedia's deep automotive expertise and trusted global OEM relationships with Intellegam's cutting-edge generative AI technology, creating a powerhouse for innovation. 

Infomedia announces it has entered into a binding agreement to acquire 50% of European AI startup, Intellegam GmbH

Together, Infomedia and Intellegam will redefine solutions for OEMs, dealerships, and vehicle owners – making insights smarter, operations faster, and customer experiences more meaningful.

Transaction Summary

The purchase price of ~A$10 million is split between cash and Infomedia shares and will be paid over two years. ~A$2m of the consideration will be invested directly into Intellegam to provide the business with working capital.  

The agreement provides Infomedia with the pathway to acquire the remaining 50% of Intellegam over five years, subject to the achievement of defined financial and strategic hurdles.

The future valuations of Intellegam are linked to both revenues and profitability and are capped at appropriate levels that ensure the dual objectives of providing incentives for the selling shareholders of Intellegam and financial certainty to Infomedia. 

Strategic Highlights

• Intellegam is an early-stage European AI startup, primarily servicing the retail automotive sector
• Intellegam has developed –
  o   a proprietary B2B generative AI technology already used by two Chinese OEM brands in Europe. This product leverages Intellegam's innovative AI capability to enhance repair data interpretation and customer experience
  o   a unique and scalable IP across the entire AI value chain including data capture, data structuring, search, agent orchestration framework, customized LLM and UI/UX integration
• Intellegam's technologies will be integrated into Infomedia's core product suite and together with Infomedia's rich data assets, will enable Infomedia to offer additional AI features and functionality to cross- and upsell to its existing customer base
• Intellegam's management team is highly incentivised to develop and grow the combined business over the coming 5 years
• Not expected to have a material impact on FY25 P&L

Infomedia's CEO, Jens Monsees said:

"The partnership with Intellegam is an exciting milestone for Infomedia. Intellegam will bring cutting-edge generative AI technology, that's purpose-built for the automotive sector, into our business.  With a proven turn-key product in market with two Chinese OEM brands and scalable IP ready to go, this acquisition reinforces our commitment to delivering intelligent, data-driven solutions that power the automotive ecosystem. By combining Intellegam's innovative AI technology with our industry-leading automotive software and data solutions, we will enhance our existing product portfolio and bring new solutions to our customers. We look forward to welcoming the Intellegam team to Infomedia and working together to drive global opportunities."

Intellegam's CEO, Tobias Hetfleisch said:

"This partnership with Infomedia marks a significant step toward tackling new challenges in the automotive sector.

"The automotive industry is undergoing rapid transformation, driven by connected cars, evolving customer expectations, and workforce shortages. Businesses are seeking smarter solutions that not only streamline operations but also enhance decision-making. By harnessing AI, companies can bridge knowledge gaps, improve efficiency, and stay ahead in a highly competitive market.

"Marc, Hannes, and I founded Intellegam with a clear mission: to transform unstructured, complex data into actionable knowledge. By collaborating with Infomedia, we're bringing our technology where it matters most – equipping automotive businesses with AI solutions that genuinely support them through industry changes."

The transaction is subject to satisfying customary closing conditions.

Profile of Intellegam

Established in March 2023 Intellegam is an early-stage European AI startup founded by Marc Gehring, Tobias Hetfleisch and Hannes Burrichter who were joined by Franz Wimmer, a former BMW executive. Intellegam currently provides the following solutions and services to enterprises customers.

• Hands off automated data ingestion & update
• Intuitive interaction with company information
• Secure architecture through cloud technology
• Transparency about the source of information
• Accuracy based in curated and referenced data to mitigate hallucination or false information; and
• Integrated process, workflows and systems

Among its customers are two Chinese OEM brands using its Repair AI solution in Europe.

Infomedia continues to assess further organic and inorganic growth opportunities, with a focus on enhancing its core platform capabilities, growing its customer base and increasing its reach across geographic markets.

Investor Webinar

Infomedia will host a webinar for investors at 1pm today. Please use the following link to register and join.

Webinar registration link: https://openexc.zoom.us/webinar/register/WN_vun8AayzQJipuuuqyfJKxA

This release was authorised by the Board of Infomedia Limited.

About Infomedia: Infomedia Ltd (ASX: IFM) is a leading global provider of DaaS and SaaS solutions that empowers the data-driven automotive ecosystem. Infomedia's solutions help OEMs, NSCs, dealerships and 3rd party partners manage the vehicle and customer lifecycle. They are used by over 250,000 industry professionals, across 50 OEM brands and in 186 countries to create a convenient customer journey, drive dealer efficiencies and grow sales. Please visit Infomedia's website https://www.infomedia.com.au and YouTube channel https://www.youtube.com/infomedialtd  for more information.

[1] Paid in EUR at a fixed EUR of 0.61