Merkle claims to be the largest independent data analytics, CRM (customer relationship management), and performance marketing agency in the US.
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Terms were not disclosed, but Colombia, MD-based Merkle has more than 2,900 employees and reported $436 million in revenues in 2015, a 14% increase over 2014.
Marcoms group Dentsu Aegis Network is to acquire a majority stake in data-driven consumer insights and analytics specialist Merkle, replacing previous investor Technology Crossover Ventures (TCV) and other shareholders.
Merkle’s management team and employees will retain a “significant minority interest” in the company. The company has more than 650 world-class clients, access to more than 150 marketing databases, and manages more than 3.7 billion first-party customer records.
David Williams, Merkle chairman and chief executive officer, said: “As we considered a new investment partner, we sought a fit that would complement our vision, escalate our brand, and provide growth opportunities for our people, while also valuing Merkle’s unique strengths and culture”.
Merkle will join the other agency brands in the Dentsu Aegis Network, which includes Carat, Isobar, iProspect, Dentsu Media, Mcgarrybown, and Vizeum. By signing this definitive agreement Dentsu is looking forward to become a 100 percent digital economy business by 2020 and the addition of Merkle, as the agency states, will accelerate this ambition as well as enhance the Network’s global operations.
According to Dentsu Aegis, the acquired firm represents the largest acquisition it’s made to date “by far”, while its added capabilities will further strengthen the media company’s already well-ingrained market position.
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“Their ability to develop people-based-marketing highlights where this business is going”, Dentsu Aegis Network CEO Jerry Buhlmann told WSJ. “As the latest brand in our global network, Merkle will be able to accelerate its transformation into an worldwide agency by leveraging our global reach and platforms and providing new capabilities to our clients”, Jerry Buhlmann, CEO of Dentsu Aegis, said in a statement.
