Moscow. February 1. The Norwegian telecommunication holding Telenor intends to purchase approximately 95% of the U.S. startup Tapad Inc. for $360 million.
Tapad, founded in 2010, develops marketing technologies that collect data about cross-platform data consumption from smartphones, tablets, computers, and smart TV. The Tapad platform matches information of the users of different devices that the customer can evaluate the size of the potential audience and its profile data-consumption for further monetization.
According to Telenor, holding buys stake in Tapad founder of Aare of Teesdale and a number of investment companies. Ostavshiesya 5% of startups will remain at the disposal of the cofounders. It is expected that the transaction will be closed in the first quarter of 2016.
“The acquisition of Tapad will allow Telenor to take positions in the fast growing market of advertising technology and provide expertise in digital marketing. I believe that significant value can be created through the use of marketing technologies in the Telecom business. This will allow us to move forward in understanding user behavior and build a platform in other business areas,” said Brekke CEO of Telenor Sigve.
By the end of 2015, as expected, the Tapad’s revenue increased by 70% compared to 2014, to $57 million, EBITDA loss was $12 million, the Company predicts that in 2016, its revenue will grow to $90 million Telenor expects Tapad will reach break-even on EBITDA in 2017.
Telenor hopes to use the opportunity of Tapad not only in established markets, the presence of a startup, but also in developing countries with their business where the advertising market is still relatively small.
Telenor owns assets in Norway, Denmark, Sweden, Hungary, Serbia, Montenegro, Bulgaria, Pakistan, Bangladesh, Thailand, Malaysia, India and Myanmar. The company’s subscriber base in the countries where more than 200 million Norwegian holding company also owns a 33% equity and 43% of the votes of Vimpelcom Ltd., last autumn, Telenor has announced its intention to dispose of these shares.