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LiveRamp to buy Habu for $200M in cash and stock

Jan 18, 2024
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Illustration: Shoshana Gordon/Axios

LiveRamp has agreed to acquire data collaboration software startup Habu for $200 million in cash and stock, the companies announced.

Why it matters: With the depreciation of internet tracking cookies, Habu's privacy-conscious technology for sharing customer data is increasingly valuable to marketers.

Details: Habu supports data "clean rooms," a technology that has helped media and retail clients share first-party data to improve their ad campaigns and marketing across publishers. Its clients include Disney, Walmart, Microsoft and Target.

  • LiveRamp, a $2.4 billion company traded on the NYSE, said in a release after Wednesday's market close that it will pay about $170 million in cash and $30 million in stock for Habu. It expects the deal to close in the fourth quarter of the 2024 fiscal year.
  • Habu had raised $40 million, per Pitchbook. Wing Venture Capital led its $25 million Series B round in 2021, with participation from Snowflake Ventures, super{set}, Norwest Venture Partners and Ridge Ventures.
  • Evercore served as financial adviser and Baker McKenzie as legal counsel to LiveRamp. Goldman Sachs served as financial adviser and Gunderson Dettmer as legal counsel to Habu.

What's next: LiveRamp said it expects Habu to report $18 million in revenue during the 2025 fiscal year.

  • LiveRamp also shared preliminary financial results for its third quarter of 2024 fiscal year earnings report on Feb. 8, including $174 million in total revenue and $15 million in profit.
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