[Updated: the price of the deal has since been confirmed as $190 million]
Digital media outfit RNTS Media has reached an agreement to acquire advertising firm Fyber (previously called SponsorPay).
The fee wasn't disclosed. However, RNTS has raised €36 million in a private rights issue, as well as issuing up to 46 million shares priced at €0.10 specifically for the purchase of buying Fyber.
Crudely that sets the maximum priceof the deal at €40.6 million (around $50 million).
As a result of the deal Fyber now becomes a subsidiary of Berlin-headquartered RNTS (it also has an office in Korea), with Fyber co-founder and CEO Andreas Bodczek stepping up as MD and CEO of the RNTS Media management board.
The deal means that Fyber will now have access to capital markets, allowing it to innovate, accelerate, and develop its mobile supply side platform while also supporting plans to hire 60 more employees before the end of 2014.
Fyber is also headquartered in Berlin, but is expanding heavily in the US from its San Francisco office.
Fyber co-founder Andreas Bodczek believes the acquisition is an important milestone in the history of the firm.
“This transaction is another great milestone for Fyber, as it allows us to super charge our product innovation and enhance our technology and services to meet the complex monetization challenges that mobile developers face today,” said Bodczek.
“By joining RNTS Media, Fyber will be armed with the right resource to be able to rapidly scale our operations and seize the $18 billion mobile ad revenue market.”
Ryan Kavanaugh, RNTS Media Supervisory Board member, echoed the words of Bodczek, explaining that the deal will serve as a 'gateway' for RNTS as it looks to infiltrate the mobile app ecosystem.
“The confluence of RNTS cross-platform digital media expertise and the agility and ferocity of a transatlantic startup company is powerful,” he said.
“Over the years, Fyber has steadily established a solid position in the digital advertising space and the company has an impressive leadership team.
“Fyber is an attractive partner to leverage for our networks around the world, and will become a tech gateway for RNTS to the mobile app ecosystem.”
Currently serving approximately 150 million unique users monthly, Fyber¹s revenue has grown steadily at an average annual rate of 76% from 2010 to 2013.