American internet giant AOL announced plans Wednesday to fully acquire Adap.tv, a video advertising platform with Israeli roots for $405 million. The acquisition will be made with $322 million in cash and $83 million in AOL shares.
Adap.tv, which is now based in San Mateo, California, was founded by Israeli start-up veteran CEO Amir Ashkenazi, Dan Klein and CTO Teg Grenager in 2006, and its investors include Gemini Israel Ventures, as well as US funds Redpoint Ventures, Spark Capital, and Bessemer Venture Partners, Israeli’s Globes business newspaper reported.
Adap.tv will operate independently as part of AOL’s video department and it will be included in the overall solution packages offered by AOL Networks to its publisher and advertiser partners.
Today’s acquisition by AOL is the largest since Tim Armstrong became CEOÂ in 2009, beating the purchase of online news site “Huffington Post” for $315 million.