UTV Media has acquired Dublin-based social media agency Simply Zesty for an initial price of £1.7 million with further payments up to £5 million payable depending on its future trading performance.

Simply Zesty, which was established in 2009, employs 22 staff at its Dublin offices, and specialises in providing social media marketing services to assist businesses in creating social media campaigns.

The agency has already worked with established brand names such as Sony, Universal Music, Vodafone, ESPN and News International.

In a statement to the Irish Stock Exchange, UTV said it was acquiring the business from Simply Zesty's shareholders, including the founders of the business, Niall Harbison and Lauren Fisher.

Following completion of the deal the founders will continue to develop Simply Zesty as part of UTV's New Media division, it added.

UTV’s chief executive John McCann said the acquisition of Simply Zesty was part of our strategy to create a diversified multi-media business.

"Simply Zesty is a very successful Irish business with an international presence in the fast-growing social media sector."

"The social media presence of UTV Media's radio and television stations in the UK and Ireland will also be enhanced by the acquisition of Simply Zesty, facilitating far greater integration of media across online and broadcast platforms,” he said.

Simply Zesty’s chief executive Ken Fitzpatrick said: “As part of UTV, we hope to develop our existing brand and business model at an accelerated pace."