Online advertising and marketing company L90 will acquire DoubleClick unit
L90 Inc., an online advertising and marketing company, will acquire DoubleClick Inc.’s North American Media business, with the deal expected to close early this month, the two companies have announced. DoubleClick is a provider of tools for advertisers, direct marketers and web publishers to plan, execute and analyze their marketing programs. The newly merged company will be re-named MaxWorldwide.
With the marketing relationships that L90 and Double Click have created with web sites, advertisers will be able to reach an amount of consumers on a par with AOL, MSN and Yahoo, the new company says. “The acquisition is part of MaxWorldwide’s aggressive strategy to secure leadership positions in both its online and offline direct marketing businesses,” MaxWorldwide said in a statement accompanying the announcement. DoubleClick will receive 4.8 million shares in MaxWorldwide, which sells at about 75 cents a share. The shares represent 16.1% of the new company. DoubleClick also will receive $5 million cash and an additional $6 million if certain performance conditions are met.
DoubleClick’s chairman, Kevin O’Connor, will join the board of MaxWorldwide and senior members of DoubleClick Media’s management team will join the new company.
MaxWorldwide says the merger will make it the largest company in online ad sales and representation.
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