Canada’s Yellow Pages Group, which has been on a digital buying binge for much of the last year has purchased a trio of Canadian digital ad-related companies as it continues to try to diversify beyond its print directory business. Yellow Pages is paying up to $60 million (U.S. $58.5 million) for search engine marketing firm Enquiro, retail ad firm Ad Splash Media and online ad network UPTREND Media.
Yellow Pages is folding all three businesses into a new entity called Mediative, which will sell ads across Yellow Pages’ online and print properties, including online dining guide Restaurantica and shopping site RedFlagDeals.com, both of which it purchased earlier this year. Mediative will also sell digital services, such as search engine marketing and search engine optimization, to national advertisers in Canada.
Yellow Pages is paying $35 million (U.S. $34 million) in cash upfront for the three companies; the sellers can earn an additional $25 million (U.S. $24.4 million) if they meet certain targets. Yellow Pages says the three companies generate about $35 million (U.S. $34 million) in annual sales.