You’ve been inundated with talk of M&A in ad tech. You’ve seen the headlines hyping up the next wave of deals. Now, let’s break down the key factors driving it all.
First, let’s set the stage: There’s a growing buzz about a resurgence in dealmaking activity. Banks are getting involved, rumors are flying left and right, and actual deals are being inked. All signs point to deals reaching a tipping point. However, the big question remains: When will this tipping point actually occur? No one wants to make a move too soon, given the uncertainties surrounding borrowing costs, industry dynamics and the political landscape.
But hold up — how long has this thaw been happening? On the surface, it seems like a relatively recent shift — since the turn of the year, with notable deals like Walmart’s $2.3 billion splurge on Vizio, Triton Digital nabbing AI brand safety startup Sounder and LiveRamp investing $200 million in Habu. However, dig a bit deeper, and some argue it dates back to last summer. Ad tech economist Tom Triscari, for instance, points to DoubleVerify’s acquisition of Scibids. The ad verification firm paid a 44% premium on enterprise value and 16x EBITDA — a move that seemed fair to many in the industry.
Continue reading this article on digiday.com. Sign up for Digiday newsletters to get the latest on media, marketing and the future of TV.
The original post is at Marketing Archives – Digiday
Leave a Reply