(Alliance News) - Bidstack Group PLC on Thursday said it has bought advertising safety and fraud detection company Minimised Media Ltd, trading as Pubguard, in an all-stock deal worth GBP300,000.
Minimised Media has built software that automatically reviews advertisements served in-app and on mobile and desktop web content to identify offensive, malicious, illegal ad content and malware which can be blocked at a clients' discretion.
The in-game advertising company will issue 869,565 Bidstack shares at 34.5 pence per share to the sellers of Minimised Media, which includes its senior management and two funds operated by Mercia Asset Management PLC.
Bidstack shares were trading at 31.88p on Thursday afternoon in London, down 3.4%.
In the period from May 1 to December 31, 2018, Minimised Media made a loss of GBP177,000. As at December 31, it had net assets of GBP28,000.
Bidstack said intends to maintain and utilise the Pubguard platform to enhance its technical and commercial offering as part of its Software Development Kit. The company believes the acquisition will save it several months of development time and resource.
"As we have said previously, our intention is to grow Bidstack to become a significant media owner in the video games market. We stated third quarter would be an important period for us and I believe the purchase of Pubguard, our first venture into growth by acquisition, shows our commitment towards commercial innovation," said Bidstack Chief Executive James Draper.
