Great reception to Edinburgh-based tech firm TVSquared being acquired by US peer in £118m deal
Edinburgh-based tech firm TVSquared, which helps businesses measure returns from TV advertising, has been snapped up by a New York-based contemporary in a deal worth about $160 million (£118m).
TVSquared, which is described as an “independent global measurement and attribution platform for converged TV” and chaired by Scottish tech industry pioneer Chris van der Kuyl, is being acquired by connected TV (CTV) advertising delivery and measurement platform Innovid in a cash and stock transaction – in a bid to “provide the most complete view of the total TV and digital universe”.
The deal is expected to close by the end of Innovid’s fiscal second quarter, subject to relevant requirements, and the Edinburgh firm was advised by Luma Partners. It also comes as TVSquared this year celebrates its tenth anniversary, and it is understood that the firm’s 150 staff, around 100 of whom are based in Edinburgh, will transfer across.
Calum Smeaton, founder and chief executive of TVSquared, said: “Innovid and TVSquared share complementary visions to transform TV measurement through a comprehensive view of audiences across all devices and platforms worldwide.
"Joining forces establishes a cross-platform measurement solution that maps one of the largest datasets of audiences, homes, and devices, at scale, across linear, CTV, and digital video.”
Upon the deal closing, Mr Smeaton will step down as TVSquared chief executive to take on a strategy role in support of the integration with Innovid, and the Scottish firm’s president Jo Kinsella, who has been with the company “almost since its inception”, will join the Innovid executive team, reporting into the latter’s co-founder and chief executive Zvika Netter, and leading the measurement business.
Ms Kinsella said: “By digitising cross-platform TV advertising, we believe this combination will give advertisers, across the ecosystem, everything they need to transact at scale. Together, TVSquared and Innovid are at the centre of TV’s transformation, meeting the market’s needs for a converged TV measurement alternative.”
Mr Netter said: “In acquiring TVSquared, we aim to provide the most complete view of the total TV and digital universe through a scalable, currency-grade measurement platform.
“Additionally, we immediately accelerate and broaden our scope globally, as brands, agencies, publishers, and broadcasters on six continents rely on TVSquared to maximise reach, identify the right audiences, and drive business growth with TV. As the market demands greater accountability, Innovid and TVSquared are reimagining the future of cross-platform TV measurement together.”
Mr Van der Kuyl, principal of investment vehicle Chroma Ventures and chairman of TVSquared, said: “The best part of my job as chairman has been supporting the development of the fantastic team and this is a monumental and well-earned moment for all of them.
“This chapter of the story begins and ends with Calum Smeaton, who is a world-class technology entrepreneur and someone who is willing to bear risk in stepping up and seizing opportunities. I have known Calum for most of my professional career and will always be thankful that he chose to take on this idea and lead this company.
“It has been an honour to both invest in the company and serve as its chairman during this first phase of the company’s growth. Having transferred a material part of our investment into shares in Innovid, we are looking forward now to being part of the next phase of growth.”