Online advertising powerhouse DoubleClick Inc. Monday announced it is acquiring NetGravity Inc. in a stock deal
valued at $530 million.
The deal gives DoubleClick, which markets its proprietary DART (Dynamic Ad
Reporting and Targeting) ad serving technology, access to NetGravity’s ad
serving software and other online ad targeting solutions as well as its
customers.
DoubleClick said the acquisition “builds on both companies’ goals to provide
the broadest possible infrastructure for ad management, data solutions and
media sales for Internet publishers, advertisers and merchants.”
DoubleClick will issue 0.28 shares of its common stock for each share of
NetGravity common stock. Based on yesterday’s closing prices, the exchange
ratio represents a per share price of $26.32, a 26 percent premium over NetGravity’s 30-day average stock price.
The transaction is
expected to be completed in the fourth quarter.
“NetGravity’s strengths combined
with DoubleClick’s technology infrastructure and Abacus Direct’s data
(DoubleClick previously announced the $1 billion acquisition of Abacus, which
has data on more than 2.4 billion consumer purchases) will create a company
uniquely positioned to be the overall leader in targeted advertising,” said Kevin O’Connor, DoubleClick’s chief executive officer.
“We bring several unique strengths to the combined company, including our people, our consulting services, our software solution and a very strong West Coast and international presence,” said Eric W. Spivey, NetGravity’s president and chief executive officer.
NetGravity clients include Excite@Home and CNN Interactive, among others.
