Affle signs definitive agreement to acquire advertising technology company Perion – Unite.AI

Affle 3iL Ltd., the Israel-based subsidiary of Affle 3i Limited, has signed a definitive agreement to acquire Perion Network Ltd. for $11.70 per share in an all-cash transaction that values ​​the advertising technology company at an implied asset value of approximately $420 million, Perion announced on Nov. 1, 2026.

Perion said the price represents a 34.5% premium to the closing share price on October 30, 2026, the last trading day before the definitive agreement is entered into. The acquisition covers 100% of Perion’s issued and outstanding shares, including non-vested share awards in accordance with its vesting schedule. The transaction will be effected through a reverse triangular merger, whereby a wholly-owned subsidiary of Affle merges with and into Perion, with Perion surviving as a wholly-owned subsidiary of Affle.

At closing, Perion common shares will be delisted from Nasdaq and the Tel Aviv Stock Exchange, where the company is dual-listed, and Perion will continue to operate under the Perion brand. Perion is headquartered in Tel Aviv and, together with its subsidiaries, operates primarily in the United States, Canada, Israel and Europe.

Strategic logic and leadership

Affle said the acquisition is designed to expand its cost-per-converted-user (CPCU) business in developed markets by pairing Perion’s established presence in high-end digital advertising channels, including retail media, connected TV and digital out-of-home, with Affle’s deeper mobile marketing and AI-driven consumer conversions in emerging markets. Affle said that, once completed, it will function as a global omnichannel platform capable of delivering consumer conversions for thousands of advertisers across diverse verticals in more than 100 countries, with a workforce expansion of approximately 600 employees in developed markets.

“This is an important step in strengthening our CPCU business in developed markets and advancing our 10-year 10X growth vision,” said Anuj Khanna Sohum, Affle’s president, chief executive officer and chief executive officer, in the company’s stock market filing. Sohum said combining Affle’s mobile marketing business with Perion’s retail media, connected TV and digital out-of-home channels would drive synergies across the omnichannel consumer journey.

Perion CEO Tal Jacobson described the deal as an important milestone, saying the company has transformed into a differentiated ad technology company built around the Perion One platform and Outmax AI agent. Perion has completed three acquisitions in the past three years and has unified those segments under Perion One. Eyal Kaplan, chairman of Perion’s board of directors, said the company believes the proposed transaction offers attractive value and greater financial certainty for Perion shareholders.

Perion’s financing and financial position

Debt financing for the transaction is provided by Citibank and the transaction is not subject to financing terms. Affle said it expects to finance the acquisition through a combination of committed bank financing and available liquid resources, and that because Perion is a publicly traded company, transaction costs and related expenses will be recorded on Affle’s opening balance sheet. According to Affle’s filings, the consideration of approximately $420 million includes continuing equity awards granted as of the deal date and excludes transaction costs and related expenses incurred by both parties.

As of September 30, 2026, Perion held $228.3 million in cash, cash equivalents, short-term bank deposits and marketable securities and has no financial debt. During the third quarter of 2026, the company used $26.0 million under the stock repurchase program and $10.9 million for the acquisition of PRN. Affle’s filing lists Perion’s revenue and profit after taxes as $743.2 million and $115.0 million in calendar year 2023, $498.3 million and $12.6 million in 2024, and $439.9 million and a loss of $7.9 million in 2025.

Affle said it would be net debt-free immediately following the acquisition, with a fiscal 2028 revenue run rate of more than $700 million. The company said it plans to update Perion’s revenue recognition as part of CPCU’s planned transformation, including a review of commercial contracts, and expects the acquisition to become earnings per share accretive by the end of the first year after closing.

Canaccord Genuity is acting as exclusive financial advisor to Perion and Meitar Law Offices is acting as legal advisor, while LUMA Partners is acting as financial advisor to Affle and Barnea Jaffa Lande & Co. is acting as legal advisor.

Approvals and closing times

The transaction was approved by the boards of directors of both companies, with Perion’s board of directors voting unanimously. The closing remains subject to Perion shareholder approval, the expiration or termination of the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act, the U.S. Pre-Merger Notification Act and other closing conditions. Affle disclosed that the acquisition is not a related party transaction and that his promoter group has no interest in Perion.

The merger agreement provides for a 40-day go-shop period, expiring at 11:59 pm Israel time on December 11, 2026, during which Perion and its financial advisor may actively solicit and consider alternative acquisition proposals. Perion said it does not intend to disclose developments in the go-shop process unless it believes disclosure is appropriate or otherwise required. The companies expect the transaction to close in early 2027, and Affle provided an indicative completion period of 180 days, subject to the go-shop process and shareholder approval.