Performance marketing specialist Matomy has acquired European mobile ad network MobFox, for a total of $17.6 million.
The deal will see the Tel Aviv-based Matomy gain a stronger foothold across the mobile advertising sector. MobFox has been steadily building out a robust ad platform since launching in 2010, with its own RTB exchange, native ad products and it’s recently launched native ad mediation platform.
All this means Matomy expects 50% of its revenues to come from mobile activity within less than five years. That’s a big jump from the 7% of revenues mobile represented in 2013 and the expected 20% of revenues in 2014. MobFox revenues for 2014 are forecast between $15 million and $17 million.
Commenting on the deal, Matomy CEO Ofer Druker explained why MobFox stood out from the other still-independent mobile ad networks on the market.
“The impressive growth of programmatic and mobile advertising has made it clear that both will form an important part of the future of digital advertising. MobFox has built an excellent mobile programmatic advertising solution, and its business fits perfectly into our vision, complementing our performance-based advertising capabilities. We make it a priority to invest in companies that have developed proven innovative technologies and solutions that will give our advertising clients and media partners unrivalled access to these services. With MobFox, we will continue to expand our capabilities in mobile and programmatic advertising, which are key growth engines for our business.”
“Companies in the mobile advertising industry constantly talk about the need for scale and quality in their operations, so partnering with a company like Matomy that offers both advertisers and publishers a global multi-channel performance-based advertising solution makes perfect sense. The resources and support of Matomy will help MobFox build upon our strategy of delivering innovative mobile programmatic advertising and monetisation technology and will drive further success for our customers. We look forward to leveraging Matomy’s expertise and sharing ours to make our combined solutions even better.”
It’s been a very busy month for Matomy. This latest deal follows ad giant Publicis’ acquisition of a 24% stake in the Tel Aviv-based company. Publicis is now Matomy’s largest stake holder, a clear sign that big brand advertisers are beginning to move into performance marketing and mobile advertising.
The MobFox acquisition will also give Matomy a stronger presence in Europe, with MobFox’s London-based office becoming Matomy’s UK branch. For more information head over to the Matomy website.