Dentsu Aegis Network acquired abaGada Internet Ltd – a fast growing digital performance marketing agency in Israel. abaGada will become part of Dentsu Aegis Network and transition towards operating as iProspect – Dentsu Aegis Network’s global digital performance agency. The acquisition price is estimated to be $60-90 million according to Israeli media.
The acquisition establishes iProspect’s network in Israel in addition to expanding Dentsu Aegis Network’s breadth of media and digital capabilities in this dynamic and innovative market.
Established in 2010 and headquartered in Tel Aviv, abaGada has quickly grown to become a leading digital agency in Israel, a market recognised as an incubator for technology advancements and digital product development. Offering a full range of multilingual marketing services including advanced Pay Per Click (PPC) management, Search Engine Marketing (SEM) and Optimisation (SEO), Display, as well as social and creative solutions, abaGada’s main clients include Google, KIA, Bezeq International, and Issta.
abaGada’s CEO and co-founder, Eyal Chen, will continue to lead his successful business and dynamic team of 22 employees in his new role of CEO of Dentsu Aegis Network, Israel, reporting into Thierry Jadot, CEO of Dentsu Aegis Network, France & Middle East.
“This acquisition marks another important step in the continued growth of Dentsu Aegis Network and the reach of our digital capabilities,” said Thierry Jadot, CEO of Dentsu Aegis Network, France & Middle East. “With advanced services, a high level of technology products and expertise delivered to globally renowned brands and partners, abaGada is a highly successful business that is both strategically and geographically suited for our global network.”
“Bringing abaGada into iProspect enables us to scale our brand presence in the crucial high tech Israeli marketplace, adding another dimension to our global digital capabilities. We look forward to welcoming Eyal and the whole abaGada team to iProspect,” said Ben Wood, Global President of iProspect.
Eyal Chen, CEO of abaGada said “We are looking forward to joining Dentsu Aegis Network and offering our digital marketing services and technology to more global brands. Our dynamic team will act as the conduit between the innovative Israeli market and Dentsu Aegis Network’s and iProspect’s global network, whilst continuing to provide our clients with the highest value in digital marketing.”
Dentsu Aegis Network Ltd. is a multinational media and digital marketing communications company headquartered in London, United Kingdom, and a wholly owned subsidiary of Dentsu Inc. Its principal services are communications strategy through digital creative execution, media planning and buying, sports marketing and content creation, brand tracking and marketing analytics. It is organized into eight main divisions: Carat, Dentsu (operations outside of Japan), Dentsu media, mcgarrybowen, Posterscope, Isobar, iProspect and Vizeum. Dentsu Aegis Network manages all the Dentsu inc. owned businesses outside the Japan market, which includes the former Aegis Group business that it acquired in 2013. It also includes 360i, AMNET, Amplifi, Data2Decisions, Mitchell Communications and psLIVE. It has 23,000 people across 110 countries.
Aegis’ origins date back to the founding of the media agency Centrale d’Achats Radio, Affichage, Télévision (Carat) in France in 1966. Formerly listed on the London Stock Exchange and a constituent of the FTSE 100 Index, Aegis was acquired by Dentsu in March 2013.
DENTSU INC. (TOKYO:4324) maintains the top share in the Japanese advertising market, which accounts for 10.0% of the global market. In terms of net sales, Dentsu is the No.1 advertising company in the domestic market. Dentsu is also the headquarters of the Dentsu Group, with a global presence spanning 124 countries across five continents. According to Advertising Age (April 28, 2014 edition), Dentsu is the world’s largest advertising company, based on non-consolidated gross profit in 2013, and as an agency group, the Dentsu Group is ranked fifth globally. From a geographical perspective, the Dentsu Group holds formidable market share in the Asia-Pacific region and also in Western Europe, while in North America, the largest ad market in the world, there is still plenty of growth potential.