• by Tobi Elkin  @tobielkin, August 3, 2016

Ad-tech firm Sizmek is being acquired for $122 millon by Vector Capital, a technology-focused private equity firm. The deal, announced Wednesday, means that Vector will acquire all of the outstanding shares of Sizmek common stock for $3.90 per share in an all-cash offer.

Vector has invested $1.6 billion in more than 40 technology companies, including in the advertising technology space, according to a release.

“We believe this transaction provides Sizmek with the resources and flexibility to execute upon our long-term strategy of becoming the leading independent, global ad management platform,” stated Neil Nguyen, president and CEO of Sizmek. 

“We plan to invest in the company’s growth, to further strengthen its open ad-management platform, to launch adjacent product offerings as well as to support Sizmek with capital for acquisitions,” stated Alex Beregovsky, managing director, Vector Capital.

The purchase price represents a 65% premium to Sizmek’s 30-day volume weighted average trading price of $2.36 on Aug. 2.  Upon completion of the transaction, Sizmek will become a privately held company.

The deal is expected to close by the fourth quarter of 2016.