Indian digital advertising company Affle has signed an all-cash Affle Perion deal to buy Israeli ad-tech firm Perion Network for about $420 million, or $11.70 a share. The 34.5% premium, detailed by Globes, joins Affle’s mobile performance tools with Perion’s retail media, connected TV and digital out-of-home channels. Advertisers will be watching whether converted-user pricing can steady a business a platform partner has already shrunk.
Key Takeaways
- Affle will pay $11.70 a share, a 34.5% premium, for about $420 million.
- A 40-day go-shop runs through December 11; closing is expected in early 2027.
- Perion held $228.3 million in cash, deposits and securities, and no financial debt.
- Perion said Bing would be under 5% of second-half revenue.
How the Affle Perion Deal Is Structured
On November 1, 2026, Affle 3i said its Israel-based step-down subsidiary, Affle 3iL Ltd., agreed to acquire 100% of Perion’s issued and outstanding shares, including unvested equity awards, CNBC TV18 reported. Both boards approved the deal. Perion’s board did so unanimously, The Jerusalem Post and CTech reported.
The $11.70 offer is a 34.5% premium to Friday’s Wall Street close, Globes reported. The Jerusalem Post and CTech identify that close as October 30, 2026. A 40-day go-shop, reported by The Jerusalem Post and CTech, runs through December 11, 2026. Closing is expected in early 2027, subject to shareholder and regulatory approvals.
CTech added U.S. antitrust clearance and said there is no financing condition. Citibank is the financing bank. LUMA Partners and Barnea Jaffa Lande & Co. advise Affle; Canaccord Genuity and Meitar Law Offices advise Perion. A reverse triangular merger leaves Perion a wholly owned subsidiary under the Perion brand, and its shares will be delisted from Nasdaq and the Tel Aviv Stock Exchange.
| Measure | Figure |
|---|---|
| Offer price | $11.70 per share |
| Premium to Oct. 30, 2026 close | 34.5% |
| Implied equity value | About $420 million |
| Cash, deposits and securities, Sept. 30, 2026 | $228.3 million |
| Financial debt | None |
| FY2028 revenue run-rate target | More than $700 million |
Why Bing Exposure Crushed the Multiple
Cash, deposits and securities are roughly half the headline equity value, not a near match. CTech reported $228.3 million in cash, short-term bank deposits and marketable securities as of September 30, 2026. CNBC TV18 put the cash balance at about $228 million and said Perion has no financial debt. Three years ago, CTech said, market value topped $1 billion.
Globes put the April 2023 cap at NIS 7 billion, then an 82% drop to about NIS 1.05 billion, or roughly $360 million.
In 2023, search was 46% of revenue and Microsoft supplied 85% of that segment, CTech reported. Globes said a February Bing pricing change cut activity and revenue per thousand impressions. In June, Perion said Bing would be less than 5% of second-half revenue after Microsoft removed publishers. A Google policy shift had done similar damage years earlier.
CTech said revenue is projected to fall from nearly $900 million in 2024 to about $400 million by 2026, and into a loss. Advertisers weighing search dependence can set that beside the pressure on Alphabet’s search ads. A distribution contract is not a moat when the partner rewrites the rate.
The Channels Folded Into Affle’s CPCU Model
Perion began as IncrediMail in 1999, listed in 2006 and 2007, and took its current name in 2011. Tel Aviv-based, with a significant North American presence, it completed three acquisitions in three years and brought them under Perion One, while expanding into CTV and DOOH and building the Outmax agent. CTech said that shift has not reversed the decline.
Affle wants that upper-funnel reach in developed markets beside its mobile conversions in emerging markets. It expects CPCU tools to support CTV-to-Cart and DOOH-to-Cart for Perion’s advertisers, serving thousands of advertisers in more than 100 countries, including e-commerce, retail and healthcare. It has cited organic growth and EBITDA growth above 20% a year.
- Committed bank financing and cash fund the purchase; Affle expects to remain net debt-free immediately after.
- Perion contracts will be reviewed so revenue recognition fits the CPCU model.
- Earnings-per-share accretion is expected by the end of the first year after close.
- The FY2028 revenue run-rate target is more than $700 million.
What Advertisers Should Watch After the Close
Tal Jacobson said, in comments carried by CNBC TV18, the tools are meant to protect advertiser ROI:
Through Perion One and our Outmax AI agent, we continue to advance how advertising performance is executed and optimised across channels to ensure the best ROI on media investments for our customers.
Anuj Khanna Sohum, Affle’s chairperson and managing director, said, according to Globes, the deal is “an important step in strengthening our CPCU business across Developed Markets and advancing our 10X decadal growth vision.”
For advertisers, that is a claim to test, not a result already in the numbers. The premium does not re-rate CTV, retail media or DOOH: cash, deposits and securities cover roughly half of the about $420 million. Microsoft has already cut the search line.
Agencies should check publisher access, how CPCU replaces live contracts, and whether Outmax measurement survives. Affle 3i ended at ₹1,345.00 on the BSE, down ₹37.60, or 2.72%. Budgets will not wait on a 2027 close. Meta ad revenue nearing Google search shows where scaled brand spend already sits while this integration is still conditional.
