It is all over the news, we’re not acquiring Outbrain.
Now to what happened:
Outbrain agreed to be acquired by Taboola in October of 2019.
- We met good people, much like us, and spent a lot of quality time with them.
- The agreement had an expiration date after 12 months, giving both sides a way to part ways.
- As part of the process we exchanged financial information with each other. Based on the relative performance of the two companies, we decided the original deal does not make sense anymore. We could choose to pay the same price of 30% in equity + $250M, but our shareholders thought it’s too much for what we would get based on the relative contribution of the two companies. Nothing emotional, not about culture fit, just data.
- Out of deep respect, we tried to do a deal that was equity only (but less equity), or equity and cash (but less cash) that matched Outbrain’s financial contribution to Taboola. We failed, and we called it off.
We are in a dynamic industry, so we are dynamic.
We are in an industry driven by data, so we are scientific.
When something doesn’t work or doesn’t make sense, we stop doing it.
When something performs well, we get it done better and faster than anyone else.
I personally like the Outbrain team, and I truly wish our new friends there all the success in years to come. While this was a business decision, we’re all people, and staying human matters.
Meanwhile, our market, the open web, journalism, and advertisers need us more than ever before. Taboola has what it takes to support our clients and partners – world’s best tech, amazing people, and tremendous financial resources – giving us the ability to invest in both for the long haul.
For all our partners in the 18 countries in which we operate – the opportunity ahead of us is larger than our wildest dreams, and I feel stronger than ever that with our team, and our dedication to continue executing on our core values, we will together fulfill our mission to be the driving force to journalism, and giving advertisers an alternative outside of the walled gardens. Every day, every night.
This is only the beginning.
Whoever you are out there, if you have any questions, email me at firstname.lastname@example.org.
Founder & CEO, Taboola