The search marketing and advertising company Gannett has recently announced that they are acquiring the online advertising agency WordStream for a $130 million cash deal. The deal also includes up to $20 million in an earn out arrangement that will take place over the next 24 months as long as set revenue targets are met.
Gannett president and chief executive officer Robert Dickey said that this, “acquisition marks another critical milestone” with the company. Gannett is looking to build up their already successful data-driven digital marketing services. Adding in the established search marketing systems of WordStream will give the company important advantages moving forward.
Gannett has also purchased ReachLocal and SweetIQ in the recent past. Their efforts to grow via acquisition is a common strategy for marketing agencies over the past several years.
Assuming there are no issues, the acquisition is expected to be completed sometime before the end of the second quarter of 2018.