The e-mails newsletter and marketing industry is certainly seeing a lot of activity with IPOs (ConstantContact and ExactTarget) and consolidation. Now GSI Commerce, the e-commerce solutions firm, is buying e-mail marketing and newsletters firm e-Dialog for $157 million, plus an additional payment of $750K in fiscal 2009 based on performance.
The company, based in a Lexington, MA and founded in 1997, has been working with the likes of Reuters (NSDQ: RTRSY), NBC, NFL and Hearst, among others. Besides e-mail marketing and newsletter software, it also works in mobile messaging for clients. In the 12 months ended Sept. 30, e-Dialog posted income from operations of $5.2 million on revenue of $33.9 million. It raised $10.5 million in 2001 from Flagship Ventures, Commonwealth Capital Ventures and Interpublic, the latter two being return investors.
Gridley & Co. were the bankers for GSI, while Jefferies & Co. were the bankers for e-Dialog. More in release here.
Meanwhile, in related news, Nick Pahade, president of Publicis’ high profile media-futures unit Denuo, is stepping down to take a new position at GSI, but the specifics of his new role are not known yet, reports AdAge.