Adobe to acquire TubeMogul

The deal bolsters Adobe’s presence in the digital marketing and ad tech industry.

Adobe has announced that it has entered into a definitive agreement to acquire California-based video advertising company TubeMogul in a deal worth approximately $540 million.

The deal will mean the creation of an end-to-end advertising and data management solution across TV and digital, according to a release from Adobe.

The acquisition will also strengthen Adobe’s presence in the digital marketing and ad tech space. Combining TubeMogul’s video advertising platform with Adobe Marketing Cloud will give customers access to first-party data and measurement capabilities through Adobe Audience Manager and Adobe Analytics.

Current joint customers of Adobe and TubeMogul include Allstate, Johnson & Johnson, Kraft, Liberty Mutual, L’Oréal, Nickelodeon and Southwest Airlines, according to the release.

The transaction is expected to close during the first quarter of Adobe’s 2017 fiscal year. Until the deal closes each company will continue to operate independently. TubeMogul’s CEO Brett Wilson will continue to lead the TubeMogul team as part of Adobe’s digital marketing business once the deal closes.

In Canada, the TubeMogul team is led by Dana Touring, who joined the company earlier this year. There are currently 25 people in the Canadian office.

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