UPDATE: Citigroup Initiates Acquity Group Limited with Buy, $9 PT on Growth Prospects

Citigroup initiates its coverage on Acquity Group Limited

with a Buy rating and a price target of $9 a share. Citigroup comments, "AQ is a leading brand eCommerce technology implementation firm that operates three primary businesses: 1) eCommerce technology & hosting services (60% of revenue); 2) Digital Ad Agency (30%); and 3) Strategic consulting (10%). AQ has built a solid business around serving Fortune 1,000 customers, and the company has a proven record of generating 40% top-line growth and solid EBITDA profitability. We expect AQ to continue to grow revenue & EBITDA in the 40%+ range in ‘12 and ‘13." AQ closed at $6.87 on Thursday.