RTL Group has announced that it has signed an agreement to acquire UK-based video technology company Yospace, in a deal worth up to US$33m.
Yospace develops advanced technologies for server-side dynamic ad insertion (SSDAI) – a technology that stitches tailored ads into online broadcasts. The company currently serves major media owners throughout Europe, the US and Asia, with customers including BT Sport, TV4, ITV and Seven West Media.
“The acquisition of Yospace is an important step in building out our Total Video portfolio and will help drive two strategic goals at the same time,” said Bert Habets, chief executive of RTL Group.
“First, we gain a competitive, fully integrated and profitable solution which is key to further grow our ad-tech business[…] Secondly, this acquisition will also help build local streaming champions in the markets where we have strong families of channels.”
Yospace techology makes advertising on streaming services “more personal,” and “a better consumer experience,” he added.
RTL Group is to appoint three of five members to the board of Yospace, whilst chief executive Tim Sewell and chief technology officer David Springall will continue to manage day-to-day operations.
Sewell added: “This new relationship with RTL Group will not only allow us to extend our customer base to all entities of the biggest European broadcast and video network, but RTL Group is also fully committed to support the further roll out of our services to bring more innovative products to media owners around the world.”
The transaction is expected to close 1 February 2019.
