Advert software program supplier Viant Know-how Inc. filed an S-1 on Friday with the US Securities and Change Fee forward of an preliminary public providing as the corporate positions itself for future progress.
The corporate anticipates a growth within the rising programmatic promoting market, notably throughout linear TV, CTV and cellular.
Viant, which was based in in 1999 by Tim, Chris and Russ Vanderhook, didn’t disclose how a lot it goals to lift within the providing. Six banks are underwriting the deal, led by BofA Securities and UBS.
In its submitting, Viant mentioned it has a worthwhile enterprise mannequin and that as a self-service platform, it provides new prospects and “as prospects enhance the usage of our software program, we’re capable of show sturdy working leverage.”
For the yr ending December 31, 2019, Viant noticed $164.9 million in income – a 52% enhance from 2018 – whereas web earnings was $9.9 million. Nevertheless, income dropped 4% through the 9 months ending September 30, 2020, to $108.eight million from the earlier yr, and web earnings was $7.eight million.
With the US programmatic promoting market anticipated to growth from $65 billion in 2018 to $140 billion in 2022 – representing practically half of whole US media spend, based on eMarketer – Viant mentioned that its product suite will likely be in demand.
The corporate additionally mentioned that there’s a powerful marketer demand for cross-channel return on advert spend measurement, and demand for scaled people-based platforms as promoting turns into extra data-driven and entrepreneurs look to focus on audiences on the particular person and family degree whereas respecting client privateness.
“That is driving an trade shift away from cookie-based DSPs to scaled people-based DSPs,” the corporate mentioned.
Viant Know-how Inc., which was included in Delaware in October 2020, will use proceeds of the providing to fund potential acquisitions and investments in “applied sciences or companies that complement our enterprise,” in addition to to buy newly-issued Viant Know-how LLC models.
Advert tech IPOs are experiencing one thing of a resurgence. Viant’s S-1 comes on the heels of PubMatic’s public providing in December, and different advert tech and digital media firms are thought-about more likely to comply with the identical path in 2021, assuming the IPO markets for tech firms stay scorching. This new wave comes years after the string of preliminary public choices within the early-to-mid-2010s when the advert tech market was peppered with high-profile IPOs, together with demand-side platforms Rocket Gas in 2013 and The Commerce Desk in 2016.
The Vanderhooks bought Viant to Time Inc. in 2016 for a reported $87 million. They purchased again their 60% stake after Time Inc. itself was acquired by Meredith in 2018, permitting Viant to once more turn into an unbiased firm.
The 300-person firm continued to give attention to being an omnichannel, self-serve DSP centered on measurement. Its demand-side platform Adelphic, which Viant purchased in 2017, stays certainly one of Viant’s most prized belongings. Adelphic plugs into Viant’s identification graph and powers its self-serve capabilities.
“We consider the promoting trade continues to be within the early phases of a shift to programmatic promoting,” the corporate mentioned in its submitting. “The power to transact by means of real-time-bidding platforms has advanced past banner promoting for use throughout a variety of promoting channels and codecs, together with desktop, cellular, related TV, linear TV, streaming audio and digital billboards.”