Adobe Systems Inc. (Nasdaq: ADBE) is buying video advertising network TubeMogul Inc. (Nasdaq: TUBE) for nearly $540 million as digital media consumption continues to increase. The deal, expected to close in the first quarter of 2017, will form a separate platform under Adobe’s digital marketing division.
TubeMogul designs software for brands and marketing agencies to advertise across linear television, social media and all multimedia video formats. Clients can plan, buy, optimize and measure the success of their advertising campaigns using the target’s technology. Adobe and TubeMogul share a list of joint clients that include: Allstate Corp. (NYSE: ALL), Johnson & Johnson (NYSE: JNJ), Kraft Heinz Co., Liberty Mutual Holding Co. Inc., L’Oréal SA, Nickelodeon and Southwest Airlines Co. (NYSE: LUV). CEO Brett Wilson will continue to lead the TubeMogul team under Adobe.