It’s been a busy few weeks for L.A. tech exits.
Closely following Apple Inc.’s confirmation that it plans to pay $3 billion for Dr. Dre and Jimmy Iovine’s Beats Electronics, and New York private equity firm Kohlberg Kravis Roberts’ reported $1.1 billion acquisition of El Segundo Web holding company Internet Brands, a few smaller deals have hit the wires in the realms of ad tech and e-commerce.
Mobile advertising company Amobee, a division of Singapore’s SingTel that operates out of Redwood City, bought Santa Monica’s Adconion Media Group for $209 million last week. SingTel at the same time announced the purchase of San Francisco marketing research company Kontera Technologies for $150 million.
Adconion places ads across display, video, mobile, email and social media from a unified platform. Its clients include more than 1,000 advertisers and agencies in the United States and Australia. The 9-year-old company had raised some $114 million from investors including Index Ventures and Wellington Partners.
“With Amobee, we can now offer our customers a complete suite of digital marketing solutions combined in a single platform,” Adconion President Kim Perell said in a statement.
CPO Commerce, a Pasadena online retailer specializing in power tools, has been acquired by United Stationers Supply Co. of Deerfield, Ill., for $30 million. The price tag could reach $40 million based on company performance.
United Stationers Supply, a wholesale distributor of business products, is a subsidiary of United Stationers, which is traded on the Nasdaq stock exchange.
CPO operates brand-specific sites where customers can shop for tools made by companies such as Bosch and DeWalt.
Founded in 2004, CPO employs 60 people at its Pasadena headquarters and another 55 at its distribution facility in Atlanta. CPO recorded $78 million in revenue last year and company founder and Chief Executive Rob Tolleson said its total this year would be “substantially bigger.”
“We’re growing at 25 percent plus a year,” he said.
United Stationers spokeswoman Diane Hund made clear that the two companies weren’t competitors. She said the company acquired CPO to gain access to a new customer base, as well as CPO’s digital capabilities as United Stationers transitions to an e-commerce model.
“We’re making progress on that, but we wanted to really fast forward it,” she said.
Tolleson said the buyout made sense for CPO because United Stationers’ 64 distribution centers across the country enable him to ship products faster and compete with e-commerce giants such as Amazon.com.
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