Actions of Zeta Global Holdings (NYSE: ZETA), a cloud-based marketing technology company, was soaring today after announcing last night that it had acquired an audience engagement company called Apptness.
Tech action was up 23% as of 3:12 p.m. EDT on Tuesday.
Zeta Global said in a press release that Apptness’s engagement platform will directly integrate with Zeta’s marketing platform and extend the company’s data cloud.
Zeta CEO David Steinberg released a statement saying the acquisition “will enrich our data footprint, strengthen our actionable 360-degree view of the consumer and help Zeta customers drive even stronger results.”
The acquisition of Apptness is Zeta’s first as a publicly traded company, and Zeta says it should increase its platform’s revenue and reduce its cost of revenue.
Additionally, Zeta says the addition of Apptness will add “incremental” consumers to its platform and help its network of more than 6 million websites “increase consumer engagement and increase business revenue. subscription”.
Zeta Global just went public in June, and since then the stock has been quite volatile. Even with today’s massive gains, shares of the tech company are still down more than 13% since its IPO.
Given that Zeta is a relatively new publicly traded company and its share price has climbed more than 20% following the announcement of a single acquisition, investors might want to be careful with this young tech stock.
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