Pureprofile Writes Down $14m for Cohort

In Australia, online research and digital ad targeting platform Pureprofile has 'written down' its digital agency Cohort, according to a note sent to shareholders, and will decommission / absorb its technology and assets.

Pureprofile acquired Cohort two years ago and said this would allow it to 'deliver one of the most comprehensive data insights, programmatic media and lead generation offerings in Australia and internationally'. However, earlier this year, Pureprofile suggested it had been misled over the state of Cohort at the time of the sale and there followed a dispute with the seller, Oceania Capital Partners, over 'poor financial stewardship'.

According to online news site Mumbrella, Cohort's existing technology will be decommissioned, and 'all digital assets and campaign management functionality [will be] transitioned into Pureprofile's internal management platform'. The note to shareholders explained the nearly $14m difference between the loss figures disclosed in Pureprofile's preliminary August results and in its 2018 annual report - the preliminary financials having disclosed a net loss of $12.1m, while the annual report disclosed a loss of $26m.

Pureprofile told shareholders: 'The difference is predominantly due to further impairment of goodwill in the Cohort business and Cohort platform, which was recognised and disclosed in the annual report'.

Led by CEO Nic Jones (pictured), Pureprofile is online at www.pureprofile.com .