PERI Stock: Why It Increased Today

By Amit Chowdhry ● Oct 4, 2021
  • The stock price of Perion Network Ltd (NASDAQ: PERI) increased by over 6% today. This is why it happened.

The stock price of Perion Network Ltd (NASDAQ: PERI) – a global advertising technology company that delivers a holistic solution across the main pillars of digital advertising (search, social media, display, and video / CTV) – increased by over 6% pre-market today. Investors are responding positively to Perion Network announcing the acquisition of Vidazoo, a leading video technology company that enables both advertisers and publishers to deliver high-impact content and advertising to consumers. Perion had acquired Vidazoo for a total amount of $93.5 million, consisting of $35 million in cash upon closing with an additional maximum of $58.5 million structured as a performance earn-out if certain EBITDA-based targets are achieved.

Vidazoo – founded in 2014 by Daniel Slivkin, Gal Dagan, and Roman Svichar – is a highly differentiated video monetization platform that allows digital publishers to generate new, incremental revenue through its unique set of video products.

Vidazoo’s video monetization solution is differentiated by 3 unique capabilities:

— A proprietary online video player (OVP) and integrated ad server – which allows publishers and brands to upload, manage and stream video content. And Vidazoo’s OVP is certified with the major advertising platforms and compatible with all devices and video formats. The Vidazoo OVP is integrated with a proprietary ad server, ensuring a consistent user experience by reducing latency and errors, adding to its inherent power and efficiency.

— A sophisticated yield management platform (YMP), which automatically optimizes and prioritizes publishers’ direct campaigns and open marketplace demand based on specific KPIs, and which is expected to be embedded into Perion’s intelligent hub (iHub).

— A rich video content and ad marketplace, with connections to multiple content providers and more than 20 programmatic platforms. Perion will expand this marketplace with its existing buy side relationships.

KEY QUOTES:

“The video advertising market is massive but highly concentrated among the largest publishers and broadcasters. Just as Shopify’s platform enables thousands of stores to compete with Amazon and Walmart, Vidazoo empowers hundreds of video-hungry publishers with a simple, highly scalable, plug-and-play video solution. By combining our high-impact video suite and Vidazoo’s unique online video player (OVP), we are offering an END to END video solution, eliminating all existing intermediate functions, and creating a direct, simpler and transparent relationship between advertisers and publishers.”

— Doron Gerstel, Perion’s CEO

“We are thrilled to be joining the Perion family to drive continued growth and vision of Vidazoo video monetization technology across all screens. Through Perion’s HUB we will have direct access to high-impact video campaigns which is what premium publishers are looking for. Perion is an ideal growth partner and opportunity multiplier, across all dimensions of our current and future business.”

— Daniel Slivkin, Chief Executive Officer of Vidazoo

Disclaimer: This content is intended for informational purposes. Before making any investment, you should do your own analysis.