Sherman Oaks-based Oxford Road will combine operations with Irvine-based Veritone One following a merger-by-acquisition in October.
Under this deal, the newly assembled set of leaders aim to expand operations with a unified brand, with a plan of becoming “the world’s largest podcast group and leading creator-based media entity.”
Both companies, which were acquired by Insignia Capital Group to be combined, work in the podcast and video streaming advertising space.
“Brands have been missing out on the full power of audio and creator-led content because these highly fragmented channels are challenging for firms without deep subject matter expertise,” said Dan Granger, who was chief executive of Oxford Road and now leads the combined operation, in a statement. “Our mission is to redefine the value of these channels for advertisers. With Veritone One’s industry-leading tech and data platform, in combination with Oxford Road’s innovation on behalf of brands, we’re creating an agency that sets a new standard.”
Terms of the Oxford Road purchase were not disclosed; however, the deal for publicly traded Veritone One was reportedly $104 million.
No layoffs expected
Formed in 2013, Oxford Road boasted about 55 employees before the merger; that headcount now numbers 172. While combined companies typically expect layoffs on account of redundant job positions, Oxford Road said there were no plans to reduce headcount. In fact, a company representative said, Granger and leaders expect to grow globally in the coming years.
The combination was highlighted as uniting Oxford Road’s international traction and industry expertise with Veritone One’s technological and data infrastructure. Both companies largely specialize in direct-response ads, which are common to podcasts and streamed programming and usually prompt listeners to visit a website or app at that moment.
“This endeavor is a pivotal moment for brands seeking the next generation of media opportunities,” said Conor Doyle, president of Veritone One, in a statement. “Podcast, audio, and creator-based media continue to outperform, but the industry still lags behind other mediums in key areas. Having a shared focus will deliver unparalleled leverage, knowledge and results for our clients, which helps the industry monetize at greater rates. For those of us dedicated to audio, this is a very good thing.”
Walnut Creek-based private equity firm Insignia Capital Group facilitated the deal, which had been in discussions for about a year before being announced in October. A team with downtown-based Sheppard Mullin Richter & Hampton served as legal counsel to Oxford Road.
“The advertising industry continues to rapidly evolve as brands seek more effective ways to reach consumers,” said Tony Broglio, president of Insignia Capital Group, in a statement. “We believe these two businesses are at the forefront of digital marketing’s next great evolution with the transformative growth of audio and creator-based advertising. By combining forces, we are empowering brands with unprecedented access to innovative solutions and influential creator networks, setting a new benchmark for the industry.”
