Microsoft buying Aquantive (AQNT)

Now this is called “fat premium”. Microsoft is buying aquantive (AQNT) for over 80% premium!!! Why? C’mon I need an answer to Google!! I am the king of the digital world and won’t let google get in the way. Fun apart, the competition for “Digital Advertising” is  heating-up. At 10% market share, internet advertising alone will represent over $35billion annually.

“This deal expands upon the company’s previously outlined vision to provide the advertising industry with a world class, Internet-wide advertising platform,” Microsoft said Friday morning, “as well as a set of tools and services that help its constituents generate the highest possible return on their advertising investments.”  

Here is a snapshot of the company:

“aQuantive, Inc., a Washington corporation, is a digital marketing Company with three distinct lines of business focused on influencing, shaping, and profiting from the digital advertising economy. Currently, the Company has three lines of business that help marketers acquire and retain customers and grow their businesses across all digital media:

  1. Digital Marketing Services,
  2. Digital Marketing Technologies and
  3. Digital Performance Media.

The Company’s DMS segment consists of Avenue A|Razorfish and DNA. Avenue A|Razorfish is an interactive agency that provides a full-service offering, including website development, interactive marketing and creative development and branding. Recently-acquired DNA, located in London, is also an interactive agency. Avenue A|Razorfish and DNA help clients use the Internet as an integrated online business channel to build one-to-one relationships with their customers – ranging from consumers and business customers, to partners and employees. The Company’s DMT segment consists of Atlas, a provider of digital marketing technologies and expertise. Atlas’s software suite enables agencies and enterprise marketers to manage their entire digital marketing effort, including planning campaigns, displaying ads, and optimizing their websites. In addition, selected publishers utilize Atlas to manage digital advertising inventory. The Company’s DPM segment consists of DRIVEpm and U.K.-based MediaBrokers. Both are online advertising networks and behavioral targeting businesses. DRIVEpm and MediaBrokers serve as intermediaries between online publishers and advertisers by procuring online advertising inventory from publishers and reselling that inventory to advertisers on a highly targeted basis. The Company markets through marketing materials, advertising, press coverage and other public relations efforts, direct marketing, trade shows, seminars and conferences, relationships with recognized industry analysts, partner programs and its websites.”

Sorry Yahoo….and those thinking of Yahoo’s takeover by Microsoft.

Profitable trading, OptionPundit






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