Mobile adtech company Vungle will be acquired by private equity firm Blackstone. The companies did not disclose financial terms of the deal but it does include a settlement with Vungle founder and former CEO, Zain Jaffer, who was suing Vungle for wrongful termination.
Terms of the Jaffer settlement were not disclosed either. Sources have told TechCrunch Blackstone paid more than US$750 million for Vungle. The transaction is expected to close later this year subject to closing conditions.
Vungle acts as a middleman between mobile developers and advertisers or brands. The adtech says it serves more than four billion video views per month on over one billion unique devices, enriching ads with data in more than 60,000 apps. It counts Zynga, Pandora, and Microsoft as clients.
The acquisition will allow Vungle to “aggressively expand” its platform with both organic and inorganic growth, according to CEO, Rick Tallman.
“We are extremely excited about our new partnership with Blackstone,” he said. “Blackstone’s acquisition will further accelerate Vungle’s mission to be the trusted guide for growth and engagement, transforming how users discover and experience mobile apps.”
Sachin Bavishi, Principal at Blackstone, said, “As a best-in-class performance marketing platform, Vungle represents a key growth engine for the mobile app ecosystem. Our investment will help deliver on the company’s tremendous growth potential and we look forward to partnering with management to extend Vungle’s strength across mobile gaming and other performance brands.”
Martin Brand, Senior Managing Director at Blackstone, added, “Blackstone is excited to invest in a leader focused on the intersection of the rapidly expanding mobile gaming and mobile advertising spaces. We look forward to contributing Blackstone’s resources to accelerate Vungle’s growth trajectory in the years ahead.”