Cross-channel advertising cloud Marin Software, a Facebook Preferred Marketing Developer, announced that it will acquire social advertising platform and fellow PMD SocialMoov, which serves Facebook and Twitter.
The two companies said they expect the transaction to close in mid-February, at a total price tag of $ 18.75 million — $ 8 million in cash and $ 10.75 million in shares of Marin’s stock valued at the 10-day trading average two days prior to entering into the definitive agreement. SocialMoov employees will also receive up to $ 2 million in equity awards following the closing.
In a frequently asked questions page posted by Marin, the companies said there will be no layoffs as a result of the acquisition, with all SocialMoov employees being asked to remain. SocialMoov president Sylvain Eche will join the product team at Marin, while executive director, co-founder and general manager Veronique Bergeot will be added to the social team.
Marin CEO David Yovanno said in a release announcing the acquisition:
Social is the fastest-growing segment in online advertising and is essential for both brand and performance marketers. Once the transaction is complete, I believe the combination of SocialMoov and Marin Software will push our social offering to the forefront and strengthen our ability to target audiences across search, display and social channels. The SocialMoov team brings a level of expertise in social advertising that will prove invaluable to our research and development moving forward. We are excited to add their social solution to Marin’s ad cloud.
Since its inception, SocialMoov has sought to provide a leading social advertising platform, designed specifically for marketers looking to leverage social networks to drive revenue and improve their reputation. I believe the combination of our technology with Marin Software will offer advertisers a greater return on their ad spend and new performance marketing opportunities. It is an honor to join Marin Software, a leader in digital marketing.