The transaction will be carried out through Affle 3iL Ltd., an Israel-based step-down subsidiary of Affle 3i Limited. Perion shareholders will receive $11.70 per share in cash, representing a 34.5% premium over the company’s October 30 closing price. The acquisition will give Affle access to Perion’s advertising technology, customer relationships and established presence in North American and other developed markets.
The deal comes as advertising companies increasingly invest in artificial intelligence, connected television and retail media to improve campaign targeting and measure advertising performance. By combining Affle’s mobile advertising expertise with Perion’s omnichannel capabilities, the companies aim to create a global advertising platform serving brands, agencies and publishers across more than 100 countries.
Affle-Perion Acquisition: Key Deal Details
The proposed acquisition will give Affle complete ownership of Perion Network, including its outstanding shares and applicable unvested equity awards.
The transaction has received approval from the boards of both companies and will be completed through a reverse triangular merger. Under this structure, an Affle subsidiary will merge with Perion, with Perion continuing as a wholly owned subsidiary.
Affle’s Acquisition of Perion: Important Numbers
| Deal Metric | Details |
|---|---|
| Acquisition value | $420 million |
| Purchase price per share | $11.70 |
| Premium to October 30 closing price | 34.5% |
| Stake being acquired | 100% |
| Transaction type | All-cash acquisition |
| Perion’s cash position (September 2026) | $228.3 million |
| Expected completion | Early 2027 |
| Financing bank | Citibank |
The $420 million figure represents the implied equity value of Perion rather than its enterprise value.
According to the transaction announcement, Affle plans to finance the acquisition through committed bank financing and available cash resources. Citibank is providing the debt financing.
Perion’s existing shareholders will receive cash consideration rather than shares in the combined business.
Why Is Affle Acquiring Perion?
The acquisition is primarily aimed at expanding Affle’s advertising technology capabilities and strengthening its presence in developed markets.
Affle has built its business around performance-based mobile advertising, using artificial intelligence and data analytics to help advertisers convert audiences into customers.
Perion operates across a broader range of digital advertising channels, including connected TV, retail media and digital out-of-home advertising.
Combining the two businesses could allow advertisers to manage more stages of the consumer journey through a single technology ecosystem.
The companies are targeting three important areas:
1. Connected TV advertising
Connected TV refers to television sets and devices connected to the internet that allow users to access streaming platforms and digital video content.
CTV advertising enables brands to reach audiences through streaming services and internet-connected television environments.
Perion’s capabilities in this segment could help Affle expand beyond conventional mobile advertising.
2. Retail media advertising
Retail media allows retailers and e-commerce platforms to sell advertising opportunities to brands through their websites, applications and other digital properties.
This advertising model is gaining importance because brands want to reach consumers closer to the point of purchase.
Perion’s retail media capabilities could help Affle expand its advertising solutions for e-commerce companies and retailers.
3. Digital out-of-home advertising
Digital out-of-home advertising includes digital screens installed in shopping malls, airports, public spaces and other physical locations.
Perion’s technology in this category could help Affle connect traditional outdoor advertising with digital audience targeting and measurable consumer actions.
Affle Plans to Expand Its CPCU Advertising Business
One of the biggest strategic objectives behind the acquisition is strengthening Affle’s cost-per-converted-user (CPCU) business model.
Under the CPCU model, advertising campaigns focus on generating measurable consumer conversions rather than simply delivering impressions or clicks.
For example, an advertiser may pay attention to how effectively an advertising campaign generates app installations, registrations, purchases or other valuable customer actions.
Affle believes Perion’s technology can help expand this model into additional advertising channels.
The combined platform could connect different stages of the consumer journey:
| Advertising Channel | Potential Application |
|---|---|
| Mobile advertising | App installations and customer acquisition |
| Connected TV | Building product awareness through streaming |
| Retail media | Reaching consumers close to purchase |
| Digital out-of-home | Engaging audiences through physical digital screens |
| E-commerce advertising | Driving measurable online purchases |
Affle has also highlighted potential applications such as CTV-to-Cart and DOOH-to-Cart.
These solutions aim to connect advertising exposure on televisions and outdoor digital screens with measurable shopping activity.
If successfully implemented, the technology could help advertisers understand how campaigns across different devices contribute to actual sales.
What Is Perion Network and What Does It Bring to Affle?
Perion Network is an Israeli advertising technology company headquartered in Tel Aviv, with a strong presence in North America.
The company operates advertising technology solutions across multiple digital channels.
Its platform, Perion One, brings together advertising capabilities designed to help brands and publishers manage and optimise campaigns.
Perion has also developed Outmax, an AI-powered agent designed to support advertising campaign execution and optimisation.
Over the past three years, Perion has completed three strategic acquisitions and consolidated its expanding business segments under the Perion One platform.
Its existing capabilities could provide Affle with additional technology, advertiser relationships and access to international advertising markets.
Following the acquisition, Perion is expected to continue operating under its existing brand as a wholly owned subsidiary.
Affle Reports 21.2% Revenue Growth in Q2 FY27
The acquisition announcement came shortly after Affle reported its September-quarter financial results.
The company recorded consolidated revenue from operations of ₹783.6 crore in Q2 FY27, representing 21.2% year-on-year growth.
EBITDA increased 24.2% to ₹181.4 crore, while profit after tax rose 17.4% to ₹129.8 crore.
Affle Q2 FY27 Financial Performance
All figures in ₹ crore.
| Financial Metric | Q2 FY27 | YoY Growth |
|---|---|---|
| Revenue from operations | 783.6 | 21.2% |
| EBITDA | 181.4 | 24.2% |
| Profit after tax | 129.8 | 17.4% |
For the first half of FY27, Affle reported revenue of ₹1,530.8 crore, an increase of 20.8% year-on-year.
EBITDA grew 22.1% to ₹349.1 crore, while profit after tax increased 19.5% to ₹258.2 crore.
The company also reported its 15th consecutive quarter of sequential revenue growth.
These results provide financial context for Affle’s expansion strategy as it prepares to integrate a substantially larger international advertising technology business.
Affle Expects Combined Revenue Run Rate to Exceed $700 Million
Affle expects the acquisition to expand its international business and increase its scale across developed markets.
According to the company’s acquisition announcement, the combined business is expected to achieve a FY28 revenue run rate exceeding $700 million.
Affle has also indicated that it expects to remain net-debt-free immediately after the acquisition.
The company plans to use technology integration, data synergies and changes to Perion’s business model to improve profitability.
Affle expects the acquisition to become earnings-per-share accretive by the end of the first year following completion.
These are management expectations rather than guaranteed financial outcomes.
The actual benefits will depend on integration costs, customer retention, revenue growth and the ability to achieve the planned operational efficiencies.
When Will the Affle-Perion Acquisition Be Completed?
The transaction is expected to close in early 2027, subject to regulatory approvals, Perion shareholder approval and other customary closing conditions.
The agreement also includes a 40-day go-shop period.
This provision allows Perion to actively solicit and evaluate alternative acquisition proposals before seeking shareholder approval.
The go-shop period is scheduled to expire on December 11, 2026.
Following completion, Perion’s shares will be delisted from Nasdaq and the Tel Aviv Stock Exchange. The company will continue operating under the Perion brand as part of Affle’s broader business.
The transaction is therefore not yet completed, and its final closing remains subject to the required approvals and conditions.
The Bigger Picture
Affle’s acquisition of Perion reflects a broader transformation in the global advertising technology industry.
Advertising is moving beyond traditional mobile and desktop platforms towards a connected ecosystem involving streaming television, retail platforms, outdoor digital screens and intelligent devices.
For Indian technology companies, acquiring established international businesses can provide faster access to developed markets, technology infrastructure and global customers.
The Perion transaction could give Affle a broader international footprint while allowing it to compete across more advertising channels. However, successful integration and the ability to generate measurable returns from the acquisition will determine its long-term value.
Looking Ahead
The immediate milestones will be the completion of Perion’s go-shop process, shareholder approval and regulatory clearances. Investors will also monitor how Affle finances the transaction and integrates Perion’s advertising platforms into its existing technology ecosystem.
If the acquisition delivers the expected technology and customer synergies, Affle could strengthen its position in global performance advertising and expand its presence across connected TV, retail media and digital outdoor advertising. The transaction also represents an important international expansion step for India’s advertising technology industry.
Get the day’s top stories in your inbox
One concise email. No spam, unsubscribe anytime.
