Advertising platform Magnite buys SpotX from RTL for $1.17 bln (updated)

RTL SA

05/02/2021 07:44

BERLIN, Feb 5 (Reuters) - U.S. advertising platform Magnite
 MGNI.O  has agreed to buy video advertising group SpotX from
European broadcaster RTL Group  RRTL.DE  for $1.17 billion, it
said on Friday, aiming to create a leading interactive
advertising platform. 
    The purchase price comprises $560 million in cash and 14
million shares of Magnite stock, RTL said.
    The combination of Magnite and SpotX will bring together the
best CTV technologies and teams at a critical time, Magnite
Chief Executive Michael Barrett in a statement. 
    CTV technologies integrate internet and interactive digital
advertising services into smart TVs and receivers.
    "Ad-supported CTV is just beginning to draw budgets from
linear TV and we will be well-positioned to participate in the
strongest segment of industry growth for the foreseeable
future," Barrett said.
    RTL Group acquired a 65% majority shareholding in SpotX for
107 million euros ($127.97 million) in 2014, and took full
ownership of SpotX in 2017, acquiring the remaining shareholding
for 123 million euros.
($1 = $1.0000)

 (Reporting by Kirsti Knolle; Editing by Maria Sheahan)
 ((kirsti.knolle@thomsonreuters.com;))