PRESSROOM

ValueClick acquires Greystripe


Acquisition Provides Immediate Scale in the $1.1 Billion U.S. Mobile


Advertising Market



Company Announces Preliminary First Quarter Financial Results




WESTLAKE VILLAGE, Calif.--(BUSINESS WIRE)--


ValueClick, Inc. (Nasdaq:VCLK) today announced the acquisition of


Greystripe, Inc., a leading brand-focused mobile advertising network.


The acquisition will provide ValueClick immediate scale in the U.S.


mobile advertising market, a $1.1 billion market that is expected to


nearly double by 20131.


Greystripe's proprietary advertising platform serves billions of rich


media impressions to over 30 million users of touch-driven devices


through more than 3,500 application titles and mobile websites across


all major mobile platforms. Greystripe has built strong relationships


with Fortune 500 advertisers across key brand advertising verticals,


including retail, consumer products (CPG), entertainment, technology,


and automotive. Greystripe is headquartered in San Francisco and has


offices in New York, Chicago, Los Angeles, Detroit, and Seattle.


"Greystripe accelerates ValueClick's move ‘up the marketing funnel' with


brand advertisers and gives ValueClick Media immediate scale and


expertise in the large and fast-growing mobile ad market," said
Jim


Zarley, chief executive officer of ValueClick. "We see great traffic and


revenue synergies between ValueClick and Greystripe, and we're looking


forward to working closely with the Greystripe team to take full


advantage of the opportunities that this combination offers."


"All of us at Greystripe are proud of our accomplishments, and joining


ValueClick positions us to accelerate our rapid growth in mobile brand


advertising," said
Michael Chang, chief executive officer of Greystripe.


"We are thrilled to continue to serve our major brand clients as a


mobile rich media leader while leveraging ValueClick's breadth and depth


in online marketing."


Under the terms of the transaction, ValueClick has acquired Greystripe


for approximately $70 million in cash. Greystripe's management team and


employee base have been retained by ValueClick, and the business will be


run as a wholly-owned subsidiary within ValueClick Media. For the


remainder of 2011, Greystripe is expected to contribute to ValueClick's


consolidated results approximately $24-$26 million in revenue and $2-$3


million in adjusted-EBITDA2. ValueClick anticipates that


Greystripe will be accretive on an adjusted-EBITDA multiple-basis in


2012. Montgomery & Co. acted as financial advisor to Greystripe.


Steamboat Ventures, Monitor Ventures, Peacock Equity, and Incubic


Venture Capital were investors in Greystripe.


ValueClick Announces Preliminary First Quarter


Financial Results


ValueClick today also announced preliminary results for the first


quarter ended March 31, 2011; the Company generated first quarter


revenue of $116.5 million and adjusted-EBITDA of $35.1 million, which


exceeded the high-end of the guidance ranges management provided on


February 15, 2011. Year-over-year revenue growth in the Company's


Affiliate Marketing, Media, and Owned & Operated Websites segments was


above the previously-issued guidance ranges, while year-over-year


revenue growth in the Company's Technology segment was in-line with the


previously issued guidance range. The results of operations of


Greystripe are not included in the Company's first quarter results, but


will be included in the Company's second quarter results beginning on


the date of acquisition.


The Company has not yet fully completed certain quarter-end accounting


procedures, including but not limited to the completion of its income


tax provision. As such, figures released today are preliminary.


ValueClick will host a conference call and announce final first quarter


financial results and second quarter guidance on Tuesday, May 3, as


previously announced. The Company will also provide more detail on the


Greystripe acquisition during the call.


ValueClick Announces Stock Repurchases


ValueClick today also announced that it repurchased approximately 2.2


million shares of its common stock in the first quarter of 2011 and an


additional 0.4 million shares in April 2011, for an aggregate cost of


$37.7 million. As of today, ValueClick has $62.3 million remaining


authorization under its stock repurchase program.


About ValueClick


ValueClick, Inc. (Nasdaq: VCLK) is one of the world's largest integrated


online marketing services companies, offering comprehensive and scalable


solutions to deliver cost-effective customer acquisition for advertisers


and transparent revenue streams for publishers. ValueClick's


performance-based solutions allow its customers to reach their potential


through multiple online marketing channels, including affiliate


marketing, display


advertising, ad


serving and related technologies, and comparison


shopping. ValueClick's brands include Commission Junction,


ValueClick Media, Mediaplex, Smarter.com, CouponMountain.com,


Investopedia.com, and PriceRunner. For more information, please visit www.valueclick.com.


About Greystripe


Greystripe is the largest brand-focused mobile advertising network in


the US by reach. Greystripe delivers the highest engagement and most


sophisticated targeting for brand marketers, the maximum revenue for


publishers and app developers, and the best ad experience for users.


Greystripe's proprietary advertising platform serves billions of rich


media impressions to over 30 million users of touch-driven devices


through more than 3,500 application titles and mobile websites across


all major mobile platforms.


This release contains forward-looking statements that involve risks


and uncertainties, including, but not limited to, the risk that market


demand for on-line advertising in general, and performance based on-line


advertising in particular, will not grow as rapidly as predicted, and


the risk that legislation and governmental regulation could negatively


impact the Company's performance. Actual results may differ materially


from the results predicted, and reported results should not be


considered an indication of future performance. Important factors that


could cause actual results to differ materially from those expressed or


implied in the forward-looking statements are detailed under "Risk


Factors" and elsewhere in filings with the Securities and Exchange


Commission made from time to time by ValueClick, including, but not


limited to: its annual report on Form 10-K filed on February 28, 2011;


recent quarterly reports on Form 10-Q; and other current reports on Form


8-K.


ValueClick undertakes no obligation to release publicly any revisions


to any forward-looking statements to reflect events or circumstances


after the date hereof or to reflect the occurrence of unanticipated


events.


1 Source: eMarketer.


2 Adjusted-EBITDA is defined as GAAP (Generally Accepted


Accounting Principles) net income from continuing operations before


interest, income taxes, depreciation, amortization, and stock-based


compensation expenses. Please see the attached schedule for a


reconciliation of GAAP net income to adjusted-EBITDA, and a discussion


of why the Company believes adjusted-EBITDA is a useful financial


measure to investors and how Company management uses this financial


measure.



ValueClick, Inc.
Gary J. Fuges, CFA
1-818-575-4677


Source: ValueClick, Inc.



News Provided by Acquire Media