NeoMedia Technologies has continued its buying spree with a further two acquisitions, following the purchase of mobile marketing and applications company 12snap last week for $22 million (12.7 million), and mobile visual recognition technology company, Mobot, for $10 million, the previous week.
On Friday 17 February, the company signed a Letter of Intent to acquire HipCricket Inc., a provider of custom mobile marketing solutions to broadcasters and brand marketers, for a total purchase price of $4.5 million in cash and shares of NeoMedia common stock, including interest-bearing bridge loans to HipCricket of $500,000.
HipCricket licenses software to radio stations and networks to enable interaction with listeners and viewers via SMS, MMS, IVR and e-mail. The company also develops and executes interactive marketing programs for brand marketing companies and their agencies, and provides customers with mobile media solutions, including marketing and mobile strategy development, marketing plan integration, creative content development, program execution, tracking and analysis, and database development and maintenance.
Today, NeoMedia has confirmed that it has signed a sale and purchase agreement to acquire Gavitec AG - mobile digit, a German provider of mobile technology and marketing solutions, for $7.2 million in cash and NeoMedia shares.
Gavitec AG - mobile digit specialises in scanning systems that read linear bar codes and two-dimensional smartcodes from mobile phone displays, and in the development of code-reading solutions that use cameras in mobile phones.
The companys customers and partners include Vodafone, T-Mobile, Motorola, Nokia and Warner Music International, and there is a natural fit between the Gavitec technology and NeoMedias PaperClick technology, which enables consumers to link to mobile internet content on their phone by clicking on SmartCodes or entering keywords on their phone.
For a considerable time, Gavitec has been a technological leader in scanning bar codes and smartcodes either with mobile handsets or on mobile handsets, says NeoMedia COO, and Chief Executive of the companys PaperClick wireless business unit, Martin Copus. Soon, the expanded code-reading offering created by the combination of our companies will be second-to-none in wireless, with alternative software clients for handset code-reading and alternative retail units for reading codes on any handset from 2G to 3G. And Gavitec will also be able to access and leverage the groundbreaking PaperClick platform and operate within the NeoMedia direct-to-mobile-internet patent portfolio.
Commenting on the acquisitions, NeoMedia President and CEO, Charles T. Jensen, adds:
We are growing by design, identifying and acquiring companies whose talents and markets blend with ours as we establish and grow our PaperClick wireless business unit to lead and embrace mobile marketing in the U.S., Europe and worldwide.