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Millennial Media, Inc. (MM)

- NYSE
  • Yesterday, 9:15 AM
    • Less than two months after TechCrunch reported a deal could happen, Verizon-owned (NYSE:VZ) AOL has announced it's acquiring mobile ad network owner Millennial Media (NYSE:MM) for $1.75/share, or $248M. The price represents a 30.6% premium to Millennial's Wednesday close, but is still well below a 52-week high of $2.40, and over 90% below Millennial's 2012 highs.
    • The deal expands AOL's supply-side (publisher-facing) mobile ad footprint, including within international markets. Millennial claims over 65K apps are on its platform, and that it has over 800M "proprietary, anonymous user profiles" for ad targeting. It follows AOL's display ad deal with Microsoft, and comes ahead of the launch of Verizon's Go90 mobile video service.
    • For Millennial, the deal provides an exit for a company that has been losing mobile ad share to the likes of Google, Facebook, Apple, and Twitter. It's expected to close this fall.
    • MM +30% to $1.74.
    | Yesterday, 9:15 AM | 6 Comments
  • Wed, Aug. 5, 10:01 PM
    • AOL (NYSE:VZ) has shuffled its leadership, promoting Huffington Post CEO Jimmy Maymann into a spot with oversight of its consumer brands as well as Verizon's upcoming Go90 streaming video service.
    • AOL chief Tim Armstrong says Arianna Huffington is leading the search for a new HuffPo CEO.
    • The shuffle will mean AOL is reorganized into three businesses: consumer brands (Maymann's area), business-to-business platforms (ad tech), led by AOL President Bob Lord, and the new "Area 51" unit focused on strategic investment, led by CTO Bill Pence.
    • Armstrong had no comment about a possible $300M deal for Millennial Media (NYSE:MM), but said: “We have a goal of becoming the largest mobile media platform whether that’s through investments or M&A. If you look at how aggressive we’ve been in the last 12 months ... you should assume we are serious. We are a company on the move right now.”
    | Wed, Aug. 5, 10:01 PM | 1 Comment
  • Wed, Jul. 8, 11:59 PM
    • TechCrunch reports AOL, fresh off being acquired by Verizon (NYSE:VZ) for $4.4B, is interested in acquiring mobile ad network owner Millennial Media (NYSE:MM).
    • The site, which is owned by AOL, reports hearing of a $300M-$350M price range, while cautioning "it will still be some weeks" before a deal is announced, should one happen. AOL is said to have begun "kicking the tires" on a Millennial deal weeks ago, before getting slowed down by the Verizon deal.
    • Millennial closed on Wednesday with a $217M market cap. With the company forecasting 2015 revenue of $311M-$342M, the reported price range is equal to a modest ~1x forward sales.
    • Millennial would significantly increase AOL and Verizon's mobile display ad footprint. Though Millennial has been struggling to deal with competition from Google (AdMob), Facebook, Apple (iAd), and Twitter (MoPub), the company still claimed to support 65K apps and reach 670M+ monthly unique users (175M in the U.S.) as of March 31. It has 750M+ anonymous user profiles for delivering targeted ads.
    • It was only last week that AOL announced a deal to "assume management and sales responsibility" for Microsoft's display, mobile, and video ad inventory in the U.S. and 8 other markets.
    • Two months ago: Millennial rises in wake of AOL/Verizon deal
    | Wed, Jul. 8, 11:59 PM | 3 Comments
  • Wed, May 13, 1:53 PM
    • Like fellow online ad plays Rocket Fuel and The Rubicon Project, Millennial Media (MM +4.5%) has rallied after Verizon announced it's buying AOL for $4.4B, a deal that's widely seen as being ad-focused.
    • Millennial, hit hard by competition from Google, Facebook, and Apple's mobile ad platforms, wouldn't be too hard for a tech or telecom giant to digest: Its market cap is currently $237M. The company has occasionally popped up in M&A speculation over the last 3 years.
    | Wed, May 13, 1:53 PM | 1 Comment
  • Sep. 23, 2014, 7:23 AM
    • Boston-based Nexage is a provider of Real-Time Bidding (RTB) technology which helps to automate the buying and selling of mobile advertising.
    • The purchase would boost Millennial Media's (NYSE:MM) platform business in three areas, says the company: Increasing yield for publishers via expertise and scale, allowing advertisers to buy impressions programmatically, enable data and audience buying.
    • Terms: MM will pay about $22.5M in cash and $85M in stock, or about 37M shares based on a price of $2.21 (MM closed at $1.77 yesterday). It would leave Nexage shareholders with a 26% stake in Millennial.
    • A conference call is set for 8 ET.
    • Source: Press Release
    | Sep. 23, 2014, 7:23 AM | 2 Comments
  • Jul. 21, 2014, 5:01 PM
    • Yahoo (NASDAQ:YHOO) has confirmed its purchase of mobile analytics platform/ad network owner Flurry, but hasn't disclosed a price. Flurry has also issued a statement.
    • Yahoo: "Our combined scale will accelerate revenue growth for thousands of developers and publishers across the mobile ecosystem. Our combined offerings will enable more effective mobile advertising solutions for brands seeking to reach their audiences and gain unique insights across desktop and mobile."
    • The company also promises Flurry's offerings (i.e. its data and analytics tools) will help "make Yahoo mobile experiences better through products that are more personalized and more inspiring."
    • TechCrunch (citing sources) states the deal's price "could be anywhere between $300 million and $1 billion." One source suggests Flurry was looking for $700M-$800M. Re/code has only reported the price is in the "hundreds of millions."
    • 170K developers use Flurry Analytics, but for now, only 8K publishers "monetize" using Flurry's ad solutions, which face competition from Google, Twitter (MoPub), Millennial Media , and many others. The addition of Yahoo's own apps to Flurry's ad network would significantly increase its scale.
    • Millennial rallied (MM +2.7%) after reports of the deal broke, as investors hope it, too, will become an M&A target.
    • Earlier: Yahoo reportedly buying Flurry
    • Update: A source tells the WSJ Yahoo is paying more than $200M.
    | Jul. 21, 2014, 5:01 PM | 6 Comments
  • Aug. 13, 2013, 5:27 PM
    • In tandem with its Q2 report, Millennial Media (MM) announces it's buying rival mobile display ad network Jumptap for 24.6M shares (worth $196.8M based on Millennial's AH trading price of $8). JumpTap shareholders will own 22.5% of the company post-acquisition.
    • Millennial and Jumptap (occasionally feared as a rival and once planning an IPO) are apparently betting their combined forces will yield a tougher rival to Google's AdMob (the market's unquestioned leader) and Apple's iAd. Following disappointing guidance earlier this year, fears have been running high that Millennial is losing share.
    • Those fears might not be soothed by Millennial's Q2 revenue miss, nor by its new guidance: Millennial projects the two companies will have combined 2013 revenue of $340M-$350M. Millennial had previously forecast 2013 revenue of $270M-$280M (up from 2012's $178M thanks to rapid industry growth), and Jumptap posted 2012 revenue of $63.6M.
    • The companies are expected to have combined 2013 adjusted EBITDA of -$1M to $1M. Millennial previously expected 2013 adjusted EBITDA of $17M-$18M.
    • Jumptap brings 100M user profiles (44M multi-screen) and a big patent portfolio (55 issued, 50 pending) to the table. Millennial had 450M monthly unique users at the end of Q2 (up 30M Q/Q) and supported 45K apps (up 3K Q/Q). $20M-$25M in deal synergies are expected.
    • Millennial's Q2 opex rose 51% Y/Y, higher than rev. growth of 45%.
    • MM -5.9% AH. Q2 results, PR, Jumptap slides
    | Aug. 13, 2013, 5:27 PM | Comment!
  • Jul. 9, 2013, 5:09 PM
    Jive Software (JIVE), Millennial Media (MM), Tangoe (TNGO), Qlik (QLIK), and Sourcefire (FIRE) are possible acquisition targets as IT giants continue eying software plays, thinks Bernstein's Toni Sacconaghi (ed: Millennial is an ad services firm, and Sourcefire sells both security hardware and software). With PC and enterprise hardware (I, II) demand slumping, hardware vendors have plenty of incentive to grow their software exposure. Sacconaghi estimates software has made up over 60% of acquisitions for IT hardware firms since '02, services 23%, and hardware/other 14%.
    | Jul. 9, 2013, 5:09 PM | 1 Comment
  • Feb. 11, 2013, 4:03 PM
    Millennial Media (MM -0.4%) is reportedly close to buying Metaresolver, developer of a mobile ad targeting/bidding platform, for ~$20M. The purchase would allow Millennial to leverage the data produced by its giant network of mobile app/site publishers to deliver more relevant ads. Millennial, which reports on Feb. 19, faces tough competition from Google's AdMob, and might soon have to also contend with mobile bidding platforms from Facebook and/or Amazon.
    | Feb. 11, 2013, 4:03 PM | Comment!
  • Oct. 21, 2012, 8:25 PM
    OpenTable (OPEN - $985M market cap) and Millennial Media (MM - $1.12B market cap) were among the companies Yahoo (YHOO) "appeared to show interest" in buying when pitched on deals by bankers, a source tells Reuters. Also reportedly piquing Yahoo's interest were PubMatic, a provider of ad monetization services for Web publishers, and Turn, a developer of ad targeting apps. Yahoo, which is giving back 85% of its Alibaba proceeds to shareholders, is said to be eying targets that can improve either user engagement or ad monetization.
    | Oct. 21, 2012, 8:25 PM | 3 Comments
  • May 29, 2012, 9:50 AM
    As part of its efforts to ramp its mobile ad business (and thus better monetize its Kindle line), Amazon (AMZN) has "kicked the tires on a few mobile-ad companies," AdAge reports. One of those companies is said to be JumpTap, one of the largest independent mobile ad networks. It's added Amazon has hired ex-Microsoft mobile marketing chief Jamie Wells to head its ad sales efforts. Millennial Media (MM +3.2%) appears to be getting a lift from AdAge's report.
    | May 29, 2012, 9:50 AM | Comment!
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Company Description
Millennial Media Incis an independent mobile advertising platform company. It offers advertisers solutions to reach and connect with target audiences across screens from smartphones, tablets and other mobile devices to PCs.
Sector: Services
Country: United States