CEO Roland Smith will retire and Troy Rice will oversee e-commerce as Office Depot’s new chief operating officer.
With its $51.5 million acquisition of Touch Clarity, Omniture Inc. sees a big global market for web analytics applications and it’s making more deals to acquire even more overseas market share and expertise.
Omniture Inc. sees a big global market for web analytics applications and it’s making more acquisitions to help it acquire more overseas market share and expertise.
In January, Omniture acquired Instadia, a Danish web analytics provider for an undisclosed sum. More than 200 companies are using Instadia’s ClientStep web analytics platform, representing over 3,000 web sites throughout Denmark, Germany, Sweden and the United Kingdom.
Now Omniture is following up the Istadia deal with the acquisition on Feb. 14 of Touch Clarity, a London-based provider of automated behavioral targeting applications. Under the terms of the deal, Omniture has agreed to pay total consideration of up to $51.5 million and approximately $8.5 million in assumed vested stock options for Touch Clarity. The $51.5 million deal included $16 million in cash at closing, up to $3 million in cash payable subject to an earn out based on certain revenue milestones for fiscal 2007, and $32.5 million to be paid in Omniture common stock or cash-or some combination of stock and cash-at Omniture’s election by Nov. 30, 2007.The transaction is expected to close during the first quarter.
Touch Clarity provides real-time predictive modeling, data mining and machine learning applications through a software-as-a-service model. Touch Clarity’s international clients include AOL, HSBC, BT (British Telecom), Lloyds TSB, Barclays, Alliance Leicester and Lastminute.com.
The acquisition will give Omniture expanded market opportunities, the company says, by providing a new entry-point as well as more cross selling opportunities. In addition, Omniture will add more than 50 Touch Clarity personnel to its payroll, including 25 employees in product engineering, with the balance in operations, client services, sales and marketing.
“Previously, online business optimization was possible for Omniture’s customers through leveraging our web analytics data, but it was executed primarily by human interaction-a limiting factor,” says Josh James, CEO and co-founder of Omniture. “With this combined technology, we have online business optimization that delivers automated revenue and profit uplift for our customers.”