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DoubleClick Completes Merger with NetGravity

DoubleClick Inc. said that it has completed its merger with NetGravity Inc. following approval by the stockholders of NetGravity.

Under the terms of the merger agreement, holders of NetGravity stock are entitled to receive 0.28 shares of DoubleClick common stock for each share of NetGravity common stock pursuant to a fixed exchange ratio.

DoubleClick will issue approximately 5 million shares to complete the exchange. Based on DoubleClick's closing price of $128 15/16 on Oct. 25, 1999, the transaction is valued at approximately $650 million, and the combined market capitalization of the two companies is approximately $5.8 billion.

The NetGravity business will be included in the DoubleClick Technology Solutions division of DoubleClick Inc.

"The merger with NetGravity will allow us to offer two distinct ad serving solutions to publishers and advertisers," said Kevin O'Connor, chairman and chief executive officer of DoubleClick.

"The combination of our companies, along with the pending Abacus Direct merger, enables us to deliver the right message to the right consumer at the right time, and help companies maximize the return on their advertising and marketing investment."