DM plc, which specialises in customer recruitment and database management, acquired DLG for the knock-down price of £3.25 million pounds ($4.58 million) in November 2008.
Just over a year before this, DLG had been the subject of a £72m secondary buy-out, in October 2007. The company, which had grown rapidly through acquisitions since 2005, was directly affected by the credit crunch when its equity partner, Icelandic private investor Kaupthing Singer & Friedlander (KSF), went into administration last October. It forced DLG to seek new financing with DM plc.
Last month saw the shock exit of DLG's chief executive and architect of its rapid growth in the data market, Jeremy Whitaker, who left the supplier without a job to go to.
"The acquisition of DLG presented the group with an opportunity to rapidly establish critical mass and an influential market position in consumer lifestyle database marketing to the direct marketing industry," DM plc said.
The group's gross profit for the year rose to £8.57m from £7.93m, while gross margin improved to 47 percent from 40 percent.
Like-for-like profit after tax, based on prior year operations and excluding DLG, grew four per cent to £3.53m.
DM plc's shares rose by 1p to 11.5p yesterday.
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