AugmeTechnologies Inc., a leading full-service provider of mMarketing mobile marketing solutions, today announced it has signed an agreement to acquire JAGTAG Inc., a privately held mobile marketing pioneer based in Princeton, New Jersey.
Augme will pay $5.25 million for the deal, payable in Augme common stock, in addition to consideration of up to $250,000 in cash.
Since 2007, JAGTAG has catered to brands, agencies and media companies by utilizing 2D barcodes, including the company’s own proprietary codes and JAGTAG-powered traditional QR codes. The company has developed the ability for consumers to read QR codes without the use of a smartphone or scanning application, boosting its market reach outside the smartphone-consumer market.
Augme said it expects the combination of the two companies’ resources and clients to result in a premier mobile marketing provider with a client base of more than three dozen Fortune 500 and Global Fortune 500 companies, and more than 150 brands that are either currently running active mobile marketing campaigns or have recently purchased such services.
“We believe great opportunity exists by combining superior and patented technology with robust mobile marketing capabilities and best-of-breed strategic client services,” Paul Arena, CEO of Augme stated in the press release. “It is still very early in the game, with industry wide mobile advertising-related revenues expected to more than double in 2011 over last year’s levels, according to a new Gartner forecast.”
Gartner also forecasts the industry-wide mobile ad revenue to reach $3.3 billion for 2011 compared to $1.6 billion in 2010. By 2015, the research firm anticipates global mobile revenues to exceed $20.5 billion.
Ed Jordan, CEO of JAGTAG, will become the CFO of Augme upon closing of the acquisition. Jordan noted his expectations as the company’s integrate their services, resources and technology.
“We expect JAGTAG to contribute value-added synergies that will bolster Augme’s ability to provide client brands, agencies and partners with a full suite of products, services, strategies and experience to create mobile marketing solutions with measured benefits,” Jordan stated. “Our combined offerings are complementary, and we are excited about the benefits we expect our clients will realize from a technology platform that offers significant competitive advantages from a growing intellectual property portfolio.”
For more information visit www.jagtag.com or www.augme.com
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