Twitter to sell MoPub to AppLovin for $ 1.05 billion
Twitter, seeking to focus development dollars on its core business, said it has struck a deal to sell MoPub, which sells monetization solutions to publishers and mobile app developers, to marketing software company AppLovin for 1, $ 05 billion in cash.
Twitter acquired MoPub in September 2013 for around $ 350 million.
In 2020, MoPub generated around $ 188 million in annual revenue for Twitter, which the company reported in “Data Licensing and Others.” Twitter said it will provide additional details regarding the estimated future financial impact of the MoPub divestiture when it releases third quarter results on October 26 after market closes.
“This transaction strengthens our focus and demonstrates confidence in our revenue product roadmap, accelerating our ability to invest in commodities that position Twitter for long-term growth and best serve the public conversation,” said Jack Dorsey, CEO of Twitter, announcing the deal. “We thank the amazing teams and clients who have made MoPub successful in Twitter over the years. “
According to Twitter, the sale of MoPub will allow it to accelerate the development of revenue-owned and operated products and increase revenue in areas such as performance-based advertising, offerings for small and medium-sized businesses (SMBs). and electronic commerce.
Under the terms of the agreement, Twitter will provide certain services to AppLovin during a post-closing period to allow “an orderly transition for publishers and advertisers.” The transaction, which was unanimously approved by Twitter’s board of directors, is expected to be finalized in the coming months,
subject to regulatory approval and other customary closing conditions.