Mobile marketing company Velti said that the costs related to its acquisition of Palo Alto-based Mobclix and one earlier company called Ad Infuse were about $5.4 million, according to an SEC filing with the company’s fourth-quarter results.
The filing would exclude earnouts, however. Indeed, we actually missed an earlier filing that shows a fuller picture of the acquisition price.
Update: An earlier statement from January shows that Velti paid $1.1 million in cash and $1.4 million worth in stock for Mobclix when it acquired the company on Sept. 30, 2010. But it also said that the company would pay $8.5 million in cash or equity and $700,000 in employee retention bonuses by March 1 of this year. On top of that are potential earnouts between $2 and $43 million by March of next year (minus the initial upfront payments and the ones from this year).
Velti bought Mobclix, a mediation company that lets developers switch between different ad networks to maximize their earnings, last October. It was a mostly bootstrapped company that didn’t raise venture funding and had a veteran team with advertising experience from BlueLithium, which had been acquired by Yahoo. TechCrunch reported that the rumored acquisition price was north of $50 million.
In its most recent quarterly earnings statement, Velti reported that its net income fell to $1.97 million from $29.7 million in the same quarter a year earlier. Its software-as-a-service revenue doubled to $40.9 million from a year earlier, but that didn’t make up for declines in licensing revenue, which fell to $12.3 million from $39.4 million the year before.