Programmatic TV: TubeMogul set for U$75m IPO as ad tech gold rush accelerates

By AdNews | 8 July 2014
 

Programmatic video advertising provider TubeMogul is bucking the trend of selling to larger companies and has announced plans to proceed with a US$75 million public offering.

The company announced today that its shares would be offered in a range of US$11 to US$13 a share. This is a strong indication that its investor roadshow is set to commence in the US, in what will be a powerful litmus test for the ad tech and programmatic market. TubeMogul is valued at around US$400 million, based on the pricing offer.

TubeMogul is likely to list on the Nasdaq in July, after initially filing for a stock sale in January. The company, which counts Australia as one of its fastest-growing markets outside of the US, posted a loss of AUS$7.4 million in 2013, on revenue of US$57 million. However, its losses narrowed in the first quarter, and revenue more than doubled.

The company is strongly promoting its enterprise software capabilities and believes its platform model is in stark contrast to that of ad network players in the programmatic space.

TubeMogul has said it would use the funds from the IPO for international expansion and product development, including the likely launch of a tool to execute programmatic TV ad trading. All of the international programmatic ad tech companies are investing significantly in their non-US operations in a bid for scale.

The TubeMogul IPO would leave Brightroll as one of the last independent video platforms in the market. Brightroll upped the ante this week by announcing it believed it could take on AOL (which owns Adap.tv) and Google, in the online video advertising market.

The ad tech market has been marked by a number of acquisitions in recent months, with Facebook buying LiveRail, AOL buying Convertro, and Singtel buying Adconion and Kontera. The ad tech stock market in the US has been volatile, with Tremor, YuMe, RocketFuel and others experiencing a sharp slump in shares in the past few months.

Sign up to the AdNews newsletter, like us on Facebook or follow us on Twitter for breaking stories and campaigns throughout the day.

Have something to say? Send us your comments using the form below or contact the writer at adnews@yaffa.com.au

Have something to say on this? Share your views in the comments section below. Or if you have a news story or tip-off, drop us a line at adnews@yaffa.com.au

Sign up to the AdNews newsletter, like us on Facebook or follow us on Twitter for breaking stories and campaigns throughout the day.

comments powered by Disqus