AOL’s Millennial Media acquisition is now a done deal.
After Thursday’s midnight deadline (which was extended last week), the companies announced the deal on Friday morning.
The deal is estimated at about $250 million. AOL acquired Millennial at $1.75 per share of common stock and all remaining shares, meaning the Baltimore-based adtech company will no longer be traded on the New York Stock Exchange.
“There is no immediate change to the way we’ll do business and we will be in touch in the coming weeks as we integrate with the AOL teams,” Millennial Media officials wrote in an email message.
However, some executives will not continue with AOL. According to a Millennial Media SEC filing from last week, 18 high-level employees will be let go. Among them is CEO Michael Barrett, who received a $2.2 million “golden parachute” (the filing’s words, not ours) compensation package.
AOL said nine Millennial Media executives will continue with AOL. Among the Millennial executives receiving offers is Ernie Cormier, who joined Millennial as COO after the company acquired his adtech startup, Nexage. Platform President Matt Gillis also received an offer and bonus to stay with AOL, the document states.
AOL was purchased by Verizon for $4.4 billion earlier this year in a deal that was seen as being focused on adtech. Millennial Media’s platform adds both mobile technology and users to AOL’s current offerings.
The companies both have offices of about 200 employees in Canton, with the AOL ad team’s recent move into Natty Boh Tower and Millennial Media’s presence in the Can Company building.-30-