Zeta Global (NYSE: ZETA), a cloud-based marketing technology company that empowers enterprises to acquire, grow, and retain customers more efficiently, today announced that it has entered into an agreement to acquire ArcaMax, a leader in the development and distribution of interest-based newsletters, which includes a large permissioned data set derived from millions of subscribers. The purchase of ArcaMax builds on the success of the Apptness acquisition, announced in October 2021, adding permissioned consumer data, growing the number of behavioral signals, and creating more opportunities for marketers to engage with high-intent audiences.
ArcaMax, which has operated for over 20 years, reaches millions of daily subscribers and partners with leading content producers, such as Tribune Content Agency, to power email newsletters and syndicate feature stories from multiple categories. Zeta will leverage the newsletter platform’s permissioned data to strengthen the Data Cloud’s foundational identity graph and accelerate the development of the Company’s robust permissioned data ecosystem. Furthermore, the acquisition will extend capabilities within the Zeta Marketing Platform (ZMP), expanding premium touchpoints through ArcaMax’s technology and newsletter enhancements as marketers engage with over 235 million permissioned US identities within the Zeta Data Cloud. This is an increase from our previously stated permissioned US identities, from 225 million to 235 million.
“We are excited to integrate ArcaMax’s impressive technology and content into the ZMP, the permissioned data sets into the Data Cloud, and their very talented team into our organization to help our customers create better consumer experiences and achieve higher return on investment,” said David A. Steinberg, Co-Founder, Chairman, and CEO of Zeta Global. “Similar to the Apptness acquisition, we anticipate ArcaMax to be additive to our technology and data footprint, and accretive to our top and bottom lines.”
Chairman of ArcaMax, Roy Jay, said, “The ArcaMax team is incredibly proud to be joining forces with the Zeta Global team to continue our mission to deliver engaging content to our devoted readers, provide opportunities for our dedicated team, and expand our impact. Integrating with Zeta’s innovative platform technology will give us opportunities to grow our portfolio, increase the size of our audience, and provide more value for marketers.”
Zeta’s acquisition of ArcaMax enhances the Company’s ability to deliver on its recently announced Zeta 2025 plan, in which it looks to reach in excess of $1B in revenue with over 20% EBITDA growth. AcraMax is not expected to have a material impact to Zeta’s 1Q 2022 results. There will be an increase to full year 2022 guidance for any incremental contributions from this acquisition as part of the next reported earnings cycle in May.