Technology platform Outbrain has acquired omnichannel video company, Teads for $1 billion (€0.92bn).
The move is on a cash-free, debt-free basis, featuring an initial payment of $725 million, with standard adjustments and an additional deferred cash payment of $25 million.
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The acquisition will create a comprehensive, omnichannel advertising solution for the open internet.
By merging Outbrain’s AI-driven performance technology with Teads’ video and branding solutions, the companies aim to provide a full-funnel advertising solution, the company revealed.
The combined entity will offer advertisers unified access to engaging and high-value media experiences for consumers, ranging from connected TV to online shopping. 
It is anticipated to reach over two billion monthly consumers globally, across more than 50 markets.
Teads Co-CEO, Jeremy Arditi, said: “By joining our expertise in omnichannel video with Outbrain’s strengths in prediction and performance, we are poised to provide our customers and partners with more value than ever before. Having known the Outbrain team for a decade, we know we’re creating an amazing combined company focused on innovation and excellence.”
Outbrain CEO, David Kostman, added: “This is a transformative transaction to establish a true end-to-end, full-funnel platform for the open internet.
“The combination of our highly-complementary offerings accelerates our vision to become the preferred partner to deliver meaningful brand outcomes across premium, quality media environments — while scaling the industry-leading offerings Teads is known for.
“I’m incredibly proud of what our team at Outbrain has created, and strongly believe that with Teads we will build tremendous value for our customers, employees, and partners. I believe this combination and the transaction’s financial structure position Outbrain to deliver significant shareholder value in the years to come.”
