DG, an ad management company, announced that sell its television ad delivery business to Extreme Reach for $485 million. Neil Nguyen, CEO and President of DG, said the company wanted to focus solely on the digital market so the company could ‘meeting the challenges facing marketers due to the massive fragmentation of technologies and audiences’.
The proceeds will be used by DG to pay off all outstanding debt and to pay stockholders $3 per share. The reduced debt burden will allow the company to further invest in its digital products to compete with the ad tech stacks being built by Adobe, AOL and Google.
As well as offering ad serving and analytics solutions, DG offers creative and content distribution services. The company also claims to have ‘the world’s largest hybrid satellite and Internet network for broadcast video delivery’.