CVC in talks to buy 25% of ironSource for $500m

Tomer Bar Zeev  / Photo: Jonathan Bloom , Globes

The UK private equity firm would reportedly pay nearly $500 million for the stake in the digital advertising software company.

UK private equity fund CVC Capital Partners is in advanced talks to buy an estimated 25% stake in Israeli digital advertising company ironSource for nearly $500 million, sources inform "Globes." ironSource declined to comment on the report.

The deal will not see any extra money enter the company coffers but rather the existing shareholders will sell some of their shares. 45% of the company's shares are held by its founders - CEO Tomer Bar Zeev, and the brothers Itai, Eyal and Roy Milrad who set up the company in 2010. Other shareholders include Viola Ventures, which holds a 14% stake, North83, Disruptive Technologies, Saban Capital Ventures, Leumi Partners and Clal Industries. The company has raised $120 million to date.

ironSource is already a profitable company, which operates in two fields: distributing software for payment and mobile operations. The company's customers install software with a development kit for applications for presenting user tailored digital ads.

Two years ago CVC acquired Teva's women's health portfolio for $703 million.

Published by Globes, Israel business news - en.globes.co.il - on October 2, 2019

© Copyright of Globes Publisher Itonut (1983) Ltd. 2019

Tomer Bar Zeev  / Photo: Jonathan Bloom , Globes
Tomer Bar Zeev / Photo: Jonathan Bloom , Globes
Twitter Facebook Linkedin RSS Newsletters גלובס Israel Business Conference 2018