Arts District-based company Social Reality Inc. announced July 30 that it will sell its healthcare and digital advertising product line to a New York private equity firm for $33.5 million in cash plus up to $19 million in other considerations.
The eight-year-old, self-described, “digital marketing, consumer data management, and distribution technology platform,” will sell these divisions to Halyard Capital. The deal includes $10 million in Class A membership units of Halyard MD, parent company of Halyard Capital. Social Reality will also get up to $9 million if Halyard Capital meets certain performance goals.
The deal is the latest change for Social Reality, which went public in 2013, and had a share price that peaked at $16.20 that year.
Its stock dropped to below $4-a-share in 2017, but rebounded after announcing a coin offering. Social Reality closed at $5.60 a share on July 27, and has a market capitalization of $50.8 million.
Social Reality’s proprietary Bigtoken coin can be used instead of stock ownership, and is awarded to consumers who share their internet browsing data with advertisers.
Media and entertainment reporter Matthew Blake can be reached at (323)556-8332 or firstname.lastname@example.org