Engagement Labs (TSX:V.EL
, Stock Forum
), Toronto-based leader in social media performance measurement, increased its industry footprint when the company announced today that it was about to acquire, Entrinsic, a social media analytics and communications agency.
According to the news release, the company made the move as a way to contribute to its Social Activation Lab and build relationships with brands and agencies, as well as adding to its product innovation.
The acquisition will result with Entrinsic integrating with Engagement Labs’ Toronto office bringing social media marketing and analytics expertise in the finance, high-tech, telecom, grocery, consumer packaged goods and auto verticals to the company’s eValue™ analytics technology and managed services platform.
All employees of Entrinsic are expected to join Engagement Labs in the deal whose consideration consists of a cash payment of $505,000 plus 1,919,000 common shares of Engagement Labs for an aggregate purchase price of $1.46 million. Of the 1.9 million shares, 1.4 million are subject to an escrow release of one third per year over the next three years.
Eli Singer, founder and CEO of Entrinsic, commented, “I am thrilled to be joining Engagement Labs.”
He went on to explain, “Our work has always been deeply rooted in analytics based insights, an approach that has proven repeatedly successful with clients. This is a logical evolution for us as Engagement Labs has built next generation social media measurement and monitoring technology that is a game-changer for brands and agencies looking to develop great results by focusing on digital programs.”
Company CEO, Paul Allard, added, “As we are solely focused on providing marketers with intelligent actionable customer engagement data, adding Entrinsic social analytics and activation expertise to our offering was the next evolutionary step for us in creating a best-in-class social technology company.”
Then he summed up, “With our Intelligent Data on Demand platform - eValue™ analytics - at the core of our business strategy, we are now able to offer our clients the next generation of social analytics systems with the insights, intelligence and optimization they need.”
Closing is still conditional and remains subject to TSX approval.
Engagement Labs was in the news recently when the company announced signing its first dashboard partnership with Netvibes almost two weeks ago
Currently there are 18.7m outstanding shares with a market cap of $9.3 million.
FULL DISCLOSURE: Engagement Labs is a Stockhouse Publishing client.