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SpotX Fully Acquired by RTL Group

30 Aug, 2017 By: Stephanie Prange

RTL Group buys remaining 36.4% of company

Video ad-serving platform SpotX announced Aug. 30 that RTL Group will acquire all of its remaining shares, according to a press release from SpotX.

“The investment demonstrates RTL Group's continued commitment to its ambitious ad tech strategy and recognition of SpotX's impressive growth and execution of its strategic objectives,” the press release stated.

RTL Group made its first investment in SpotX in 2014. The purchase of the remaining shares by RTL Group is pursuant to the option they negotiated in connection with their initial investment, and is based on an enterprise value of SpotX of $404 million on a 100% basis plus net cash, according to the release.

The acquisition is scheduled to close in October 2017, according to the press release, and SpotX’s management team, led by company co-founders Mike Shehan, CEO, and Steve Swoboda, COO/CFO, will stay on.

SpotX provides a video ad-serving platform to broadcasters, MVPDs and premium publishers around the world. Clients include over-the-top providers such as Sling TV, Vudu and Pluto TV.

“We are excited to take full ownership of SpotX, a leading global platform for ad serving and programmatic ad sales,” Bert Habets and Guillaume de Posch, co-CEOs of RTL Group, said in a statement. “Back in 2014, the majority stake in SpotX was our first big step into advertising technology; gaining full ownership now is another major step in transforming RTL Group into a ‘total video’ powerhouse. Together with the very experienced management teams of SpotX and of our European asset Smartclip, we are working on an ambitious growth plan for our ad tech businesses, including further acquisitions, partnerships and deeper synergies across RTL Group. Our joint vision is to build the leading global video monetization offering for broadcasters and premium inventory owners to maximize the value of their audiences consuming total video content across multiple devices.”

Ad-supported OTT content, whether it be on-demand, live or linear continues to grow and complement broadcast TV, according SpotX’s Shehan.

“SpotX is emerging as the premier expert in digital monetization of OTT content delivery, and uniquely positioned to assist broadcasters and other modern TV players with maximizing their profitability in the new delivery ecosystem,” Shehan said. “RTL Group’s investment will help extend our footprint in TV as we bring together the TV and digital video worlds.”

SpotX also will begin to work more closely with sister RTL Group company Smartclip, according to the press release.

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