In a bid to cement its status as a leader in mobile advertising, mobile ad network Millennial Media (NYSE:MM) has acquired RTB platform Nexage for $107.5 million: $22.5 million in cash and approximately $85 million in stock.
By acquiring Nexage, Millennial hopes to enable buyers to construct and execute deals via public and private real-time-bidding auctions.
Millennial will also have full access to Nexage's marketplace, which features an ad server used by developers and publishers looking to launch directly-sold campaigns, a supply side platform and mediation solution, and a 'leading exchange' where ad impressions are bought by a number of demand side platforms and trading desks.
A brighter future
According to Michael Barrett, president and CEO of Millennial Media, the Nexage acquisition marks a turning point for both firms.
“We are in a very exciting time right now as we help to build, educate and advance the role of RTB and programmatic solutions to advertisers, publishers, and developers,” said Barrett.
“Our vision is to create a full-stack solution that enables us to open the flow of impressions, operate a leading independent exchange, and maximise the yield for our publishers.
"The opportunity to integrate Nexage’s programmatic technology with our deep roots and heritage in agency relationships will uniquely position us in this fast paced ecosystem.
"Together, our companies will be able to offer managed services for agencies and a complete set of programmatic tools for automated buyers. We are looking forward to having the Nexage team join our family as we continue to build the next generation of mobile advertising.”