Computer software pioneer
Adobe has entered into a definitive agreement to acquire TubeMogul, an enterprise software company
for brand advertising, for approximately $540 million net of debt and cash. Under the terms of the agreement, Adobe will commence a cash tender offer to acquire all of the outstanding common stock of TubeMogul for $14 per share.
TubeMogul has an expertise in video advertising, with a single platform that enables brands and agencies to plan and buy video advertising across desktops, mobile, streaming devices and TVs. Adobe Marketing Cloud
offers comprehensive and integrated solution for delivering enhanced digital experiences.
According to the companies, the acquisition will create the ‘first end-to-end independent advertising and data management solution’ that spans TV and digital formats, simplifying what has been a complex and fragmented process for the world’s biggest brands.
“Whether it’s episodic TV, indie films or Hollywood blockbusters, video consumption is exploding across every device and brands are following those eyeballs,” said Brad Rencher, Executive Vice President and General Manager, Digital Marketing, Adobe.
“With the acquisition of TubeMogul, Adobe will give customers a ‘one-stop shop’ for video advertising, providing even more strategic value for our Adobe Marketing Cloud customers.”
Adobe to strengthen its digital marketing and advertising technology
Adobe explains that video consumption is exploding across all devices and video advertising is the fastest growing advertising category. With its video creation tools like Premiere Pro CC
solutions, it believes that the acquisition of TubeMogul will enable brands to capitalize on the meteoric shift to online video.
Building upon its expertise in search, display and social advertising planning and delivery with Adobe Media Optimizer
, the addition of TubeMogul is believed to enable Adobe’s customers to maximize their video advertising investments across desktop, mobile, streaming devices and TV.
TubeMogul’s video advertising platform, combined with Adobe Marketing Cloud, is aimed at giving customers access to first-party data and measurement capabilities from Adobe Audience Manager
, the company’s data management platform) and Adobe Analytics
“Adobe and TubeMogul share a similar culture and vision for the future of advertising,” said Brett Wilson, CEO and Co-founder, TubeMogul.
“The combination of Adobe Marketing Cloud with TubeMogul’s software creates a uniquely comprehensive platform that will help marketers always know what’s working — and act on it. We’re thrilled to call Adobe home and believe this will be a great move for our clients, team and shareholders.”
The two companies share a long list of joint customers that will benefit from the integration of TubeMogul into Marketing Cloud solutions. Joint customers include Allstate, Johnson & Johnson, Kraft, Liberty Mutual, L’Oréal, Nickelodeon and Southwest Airlines.
TubeMogul CEO Brett Wilson will continue to lead the TubeMogul team as part of Adobe’s Digital Marketing business.