UPDATE 1-Huntsworth to buy Swedish PR firm

* Initial payment for Sund Kommunikation 1.5 mln stg

* To pay total 12.3 mln stg if profit targets are met (Adds details)

Aug 19 (Reuters) - British public relations company Huntsworth Plc (HNTS.L) said on Wednesday it agreed to acquire Swedish public relations company Sund Kommunikation i Malmo AB to expand its corporate communications network in Scandinavia.

Huntsworth said its Swedish unit Citigate & Trimedia Norden AB would pay 18 million Swedish krona (1.5 million pounds) in cash initially and make deferred payments upon meeting certain profit growth targets, with a maximum total consideration of 12.3 million pounds.

The acquisition would become part of the Trimedia group and add to the existing Trimedia/Citigate offering in Sweden, the company said in a statement.

Huntsworth said it might make an interim deferred payment based on the profits for the 12 months to June 30, 2010 and a final payment based on the profits for the three years to Dec. 31, 2012.

The maximum total consideration would require profit growth of over 65 percent per annum over the 2008 base, the company said.

The transaction is expected to complete later today, it said.

Huntsworth shares closed at 56 pence on Tuesday on the London Stock Exchange. ($1=.6039 Pound) (Reporting by Balachander Surianarayanan in Bangalore; Editing by Gopakumar Warrier)