Teads in merger talks with Outbrain
![Teads in merger talks with Outbrain Teads in merger talks with Outbrain](https://the-media-leader.com/wp-content/uploads/2024/07/Teads-Outbrain-collage.jpg)
Teads and Outbrain are reported to be at “an advanced stage” in merger talks.
Business Insider first reported that Outbrain, the content-recommendation company, and Teads, the Altice-owned adtech group, were in discussion about a potential merger for an undisclosed sum.
When approached by The Media Leader, both Outbrain and Teads said their policy was to not comment on M&A speculation.
Earlier this year, Outbrain was mentioned in a roundtable of industry executives speaking about the impact of made-for-advertising (MFA) — an issue that was highlighted by the Forbesgate scandal.
Participants in the event suggested that Outbrain was sending online users to Forbes‘ shadow site, www3.forbes.com, even though it was not visible in a Google or manual search.
‘Crack cocaine’ for publishers: Insiders reveal what they really think about MFA
If true, this would appear to be in contrast to Teads’ approach to MFA.
Teads described MFA websites as “the primary drivers” of inflated inventory that “often produce no original content, trick users into clicking on ads and juxtapose more than 10 ads on a single page”.
The company added that it had “doubled down” on its efforts to identify MFA and now claims it supports 100% MFA-free inventory.
Products launched by Teads this year include Creative Consortium, a suite of partnerships that enhance its creative services for brands.
France-based Altice, which also owns mobile operator SFR and broadcaster BFMTV, acquired Teads for €285m in 2017.
It tasked Morgan Stanley with a planned sale earlier this year and selected a number of potential candidates including Apollo Global Management, which expected a valuation in the region of $2bn — a lower figure than Altice had hoped for.
In its most recent earnings, Outbrain’s Q1 revenue decreased 6% from $231.8m to $217m. It made a net loss of $5m, compared with a net loss of $5.6m a year earlier.