Velti acquires Mobile Interactive Group in $59m deal
Another landmark for Golden Gun Barry Houlihan
Mobile Interactive Group (MIG), the UK’s largest mobile marketing company, has been acquired for up to $59m by San Francisco-based advertising giant Velti.
According to reports, the deal is broken down into an initial fee of $25m, plus further installments to be paid over the next two years. The installments could reach $34m, depending on MIG’s performance.
Velti moved for MIG after seeing the company record more than $20m of net revenues in 2010, and achieve gross billings in excess of $100m.
Already established as the world’s leading mobile marketing and advertising technology specialist, Velti hopes to benefit from MIG’s existing partnerships with global leaders such as Skype and Facebook, and its presence in 44 countries.
Alex Moukas, CEO of Velti, said: “The acquisition of MIG combined with the resources of Velti, creates a strong resource for brands, mobile operators and media companies around the world.
“This acquisition also solidifies our leadership in mobile marketing, a $16 billion category that many predict will nearly double to $30 billion in the next few years. We’re definitely well positioned to take a healthy share of this market and bring unique scale and depth to our partners around the world.”
The deal is another major milestone for MIG founder Barry Houlihan, who was named Golden Gun at this year’s Young Guns awards, organised by Growing Business.
“The complementary strategic capabilities, geographic footprint and innovative customer solutions of our two companies creates a global mobile marketing powerhouse,” said Houlihan, CEO and founder of MIG. “Velti will drive significant economies of scale and innovation for our existing customers.”