Axel Springer lays his hands on eMarketer for $ 242 million
Axel springer takes control ofeMarketer, provider of digital analytics, reports and data for businesses and institutions. Indeed, the German press group has just acquired 93% of the shares of the American research company for 242 million dollars (213 million euros). The remaining 7% will continue to be held by Terry Chabrowe and Geoff Ramsey, the co-founders of eMarketer.
Founded in 1996, the New York-based company brings business information and strategic data to digital marketing players in the form of reports, statistics, infographics and forecasts. More than 1,000 companies would have a subscription contract to benefit from this data according to figures communicated by eMarketer, which would constitute no less than 81% of its revenues. The rest would come from the company’s website, where most of the information is freely available.
For fiscal year 2015, the company claims $ 45.5 million in revenue (40 million euros) and EBITDA of $ 13.5 million (11.9 million euros). eMarketer is aiming higher this year by counting on $ 53 million in revenue (47 million euros) and an EBITDA of 18.5 million dollars (16.3 million euros).
62% of revenues generated by digital activities in 2015
The transaction is part of Axel Springer’s strategy to expand digital activities in the Anglo-Saxon world, and in particular on the American market. By offering itself eMarketer, the German group also wishes to expand its portfolio of innovative paid content offers and to strengthen its position in the information and content sector dedicated to the business community.
“The acquisition of eMarketer follows our strategy of expanding our business in the United States and strengthening our paid models“, Confirmed Mathias Döpfner, CEO of Axel Springer. Claiming 200 million unique users around the world on a monthly average in the first quarter of 2016, the press group saw 62% of its revenues generated by digital activities last year. The transaction is now subject to the approval of the competition authorities.
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