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Monday, March 5, 2012

SingTel plans acquisition of mobile advertising business Amobee

Singapore Telecommunications (SingTel) has signed an agreement to acquire Amobee, a US-based mobile advertising business. It’s paying around $321 million (£202 million) for the seven-year-old business.

Amobee's management team will remain in active control of the company.

The announcement coincides with a reorganisation at SingTel, with SingTel creating a Digital L!fe Group that’ll include the organisation’s digital services.

Allen Lew, who’ll be CEO of Group Digital L!fe, said “The mobile advertising market is nascent and has significant potential for mobile operators, who are able to provide differentiated solutions across smartphones and feature phones, giving brands a better return on their marketing spend. We want to capture that growth in developed and emerging markets, starting with this acquisition. SingTel brings better value to customers as they are in control of the promotional message they receive. Likewise for brands, they will be able to reach out to the customers who are interested in their products and minimise wastage of ad spend. In a short time, Amobee has established itself as a leader in this market and we are excited to have the team on board. This expansion into the mobile marketing industry is part of our strategy to increase our share of the digital consumer wallet and will allow us to shape the digital ecosystem.”

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