Audioboom (LSE:BOOM) has outlined the final payment arrangements relating to its acquisition of UK podcast network Adelicious, which was completed in July 2025, after assessing the business’s revenue performance for the year.
Adelicious generated £5.5 million in qualifying revenue during 2025, resulting in deferred consideration of £0.9 million becoming payable. Under the agreed terms, 60% of the payment will be settled in cash, with the remaining 40% satisfied through the issue of new Audioboom shares. As a result, 81,279 new shares will be issued, increasing the company’s total issued share capital to 18,114,267 shares.
The company confirmed that no contingent consideration is payable at this stage because one of Adelicious’ key podcasts did not exceed its £2 million annual minimum revenue guarantee during the first year of ownership. This outcome means the overall acquisition cost remains below one times revenue, consistent with Audioboom’s disciplined and risk-managed approach to acquisitions.
A portion of the transaction remains subject to escrow arrangements linked to the podcast’s two-year contract, with £437,500 still reserved against second-year performance targets. Management said the acquisition has already delivered benefits through higher revenues, operational synergies and a significantly strengthened position in the UK podcasting market, effectively accelerating Audioboom’s strategic development by an estimated five years.
To date, total consideration paid for Adelicious amounts to approximately £4.53 million. This figure could rise to around £4.97 million if the podcast associated with the minimum guarantee achieves the required revenue targets during the second year. The company believes the earn-out and escrow structure provides a useful framework for future acquisitions, reinforcing a disciplined approach to expansion within the growing podcast sector.
Audioboom’s outlook reflects a balance of strengths and challenges. Profitability has improved and the balance sheet remains lightly leveraged, although negative operating and free cash flow during 2025 continue to weigh on overall financial quality. Technical indicators remain supportive, with the shares trading above key moving averages and maintaining strong momentum, although some measures suggest the stock may be approaching overbought territory. Valuation remains relatively reasonable based on earnings, though the absence of a dividend limits income appeal.
More about Audioboom
Audioboom Group plc is a global podcasting company that provides advertising technology, monetisation services and a range of commercial, distribution, marketing and production solutions for podcast creators. The group operates across North America, Europe, Asia and Australia, with content distributed through major platforms including Apple Podcasts, Spotify, YouTube and Amazon Music.
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