VCI Global moves to acquire Roots Digital for $2.2M

VCI Global (VCIG) is advancing the acquisition of Roots Digital, a digital marketing firm, marking its entry into Singapore. The acquisition, valued at approximately $2.2M, reflects a price-to-earnings ratio of nearly 3.5. This acquisition is driven by Roots Digital’s financial performance, having achieved over $3M in revenue and nearly $0.9M in profit in 2024, with an 84% year-on-year revenue growth over the past three years. The company said, “Roots Digital is an award-winning digital agency that specializes in performance marketing across various digital channels. The digital marketing firm distinguishes itself from competitors by reducing customer churn and maintaining an average retention rate of 24 months. The firm primarily serves clients in Malaysia and Singapore, including well-known names such as the National University Cancer Institute, Singapore, Microsoft Corporation, Parkway College of Nursing and Allied Health, and Orita Sinclair School of Design & Music, among others. Additionally, Roots Digital is pre-approved vendor under the Infocomm Media Development Authority’s Productivity Solutions Grant, enabling it to help eligible local SMEs secure up to 50% funding for digital marketing services. This recognition highlights Roots Digital’s proven track record for its products…Through this acquisition, VCI Global strengthens its capabilities in areas like SEO, paid media, and social media advertising, while enhancing its footprint in the Singapore market. By Combining VCI Global’s expertise with Roots Digital regional insights, the strategic move is set to deliver substantial ROI for the clients across key industries.”