Hello my dears,
Perion Networks has bottomed out thanks to good news. After a long downturn, growth has finally returned, pushing the P/E ratio for 2026 to below 10, which should continue to boost the share.
Please let me know what you think in the comments.
I'm looking forward to it.
Perion Network (a leader in advanced technologies to solve complex modern advertising) announced the acquisition of Greenbids, an AI platform that creates custom algorithms for campaign-level optimization for walled-garden platforms like YouTube, Facebook and Instagram, as well as leading DSPs like Google DV360 and The Trade Desk.
This deal enhances Perion's ability to deliver customized, performance-based advertising at scale, drive new revenue opportunities and gain market share. It is also expected to strengthen customer loyalty and have a positive impact on Perion's revenue and adjusted EBITDA this year.
Greenbids' technology creates customized bidding algorithms that are tailored to each brand and align each campaign with the KPIs most important to their business. It ensures that media investments are more efficient, performance-driven and trackable. This improves results and gives brands more control and transparency over how their budgets are spent. Greenbids has a solid and growing client base of over 80 brands already using the platform, including Spotify, Ford and Accor.
Spotify used Greenbids' technology for its Wrapped Annual Marketing initiative across 16 EMEA markets to boost campaign performance at scale while reducing environmental impact. This demonstrates how intelligent, customized algorithms can drive both results and responsibility. Perion will roll out this technology globally to leverage its presence in over 30 countries in the US and its strong relationships with agencies and advertisers.
This deal significantly expands Perion's addressable market with the addition of walled-garden channels such as YouTube, Facebook and Instagram, as well as AI-driven lower-funnel capabilities, complementing the company's existing strength in top and mid-funnel environments, including CTV, DOOH and the open web. Greenbids' technology will be embedded into the Perion One platform, allowing Perion to capture a greater share of performance budgets and drive higher customer engagement through brand-specific optimization at scale.
Contract terms: The terms of the agreement include a cash payment of $27.5 million at closing, an earn-out of $22.5 million over two years and a three-year employee commitment of $15 million in cash and equity.
In addition to the strategic considerations, the transaction is expected to be accretive to Perion's adjusted EBITDA and margins from day one. While the initial integration will begin immediately, the contribution to adjusted EBITDA and revenue is expected to accelerate significantly from 2026, driven by incremental synergies in technology, go-to-market and scalability.
By embedding Greenbids' advanced AI algorithm into the Perion One platform and leveraging existing infrastructure, we believe we can increase efficiency, expand the target market and strengthen customer loyalty. By minimizing initial risk and maximizing long-term potential, this contract structure enables Perion to deliver strategic and financial value from day one.
https://pulse2.com/perion-buying-greenbids-for-up-to-65-million/
