Mobile ad firm Millennial Media signs agreement to acquire Jumptap
Baltimore, Maryland—August 13, 2013– Millennial Media (NYSE: MM), the independent leader in mobile advertising and data, today announced that it has signed a definitive agreement to acquire privately-held, Boston-based Jumptap in a predominantly stock transaction. Under the terms of the agreement, based on Millennial Media’s closing share price on August 9, 2013, Jumptap shareholders will receive approximately 24.6 million shares of Millennial Media, corresponding to approximately 22.5% pro forma ownership post transaction. The closing of the acquisition is subject to the satisfaction of various customary closing conditions, including approval by Millennial Media’s stockholders. Millennial Media has posted a presentation on the Investor Relations page of the Millennial Media website at http://investors.millennialmedia.com which provides more details about the transaction.
Jumptap is a mobile advertising platform, which recently has taken a programmatic and mobile-first approach to reaching audiences. Jumptap has an audience profile store with over 100 million unique, data-rich profiles, of which more than 44 million can be reached across various screens – online and mobile. Jumptap supports its audience targeting through partnerships with more than 20 third-party data providers. Jumptap also has 55 issued patents and more than 50 patents pending, covering broad aspects of the mobile advertising market.
Millennial Media’s market leading platform will now include Jumptap’s offerings, and will result in consolidation and differentiated scale in the fast-growing mobile ad market. The companies’ combined strengths in brand and performance advertising, strategic position as a partner to developers, advances in programmatic and real-time bidding, and the use of data for improved targeting will help its customers and other industry stakeholders maximize the opportunity that mobile presents.
Key stakeholders in mobile advertising stand to benefit:
For mobile advertisers and agencies, the combined company will offer the largest and most complete suite of audience solutions with yet unparalleled brand and performance capabilities. The combination will deliver market-leading data, targeting, video, rich-media, cross-screen, programmatic bidding/buying and measurement solutions – driving improved buying experiences and better analytics, relevancy and performance. Millennial Media will enable deeper insights from a greater number of ad campaigns, run across a variety of screens. With an intense focus on customer service and execution, Millennial Media will take the complexity out of delivering digital audiences across mobile and web at a time when consumers hop between screens with increasing ease.
For mobile developers and publishers, Millennial Media will provide access to a larger scope of managed, self-service and programmatic tools – creating more powerful and comprehensive opportunities to monetize their inventory more efficiently and effectively.
“Millennial Media already runs one of the largest third-party digital media businesses, despite mobile being in its early stages. Jumptap’s expertise in performance, cross-screen, real-time bidding and third-party data fit well with, and provide incremental scale to Millennial Media’s existing platform,” said Paul Palmieri, President and CEO, Millennial Media. “We are thrilled to add Jumptap’s capabilities, their solution set and strong team as part of our mobile advertising business, and look forward to partnering with the team.”
“We have long admired the success of Millennial Media and all of us at Jumptap are excited for the collaboration that will enhance our combined opportunity,” said George Bell, CEO, Jumptap, who will join the board of Millennial Media and become Vice-Chairman upon closing of the transaction. “I feel strongly that the addition of products, people, and technology to the market-leading Millennial Media portfolio will further the mission of building the leading mobile platform worldwide.”
Millennial Media will host a conference call today, August 13, 2013 at 5:00 p.m. ET to discuss this acquisition and its second quarter 2013 financial results. To access the conference call, please dial 800-237-9752 (U.S.) or 617-847-8706 (international) using passcode 37339193. The conference call will also be available via live webcast under the Investor Relations section of Millennial Media’s website at http://investors.millennialmedia.com. If you are unable to listen to the live conference call, a replay will be available through August 20, 2013, and can be accessed by dialing 888-286-8010 (U.S.) or 617-801-6888 (international) using passcode 52607453. An archived version of the webcast will also be available at http://investors.millennialmedia.com.