DoubleClick Inc. to purchase @plan.inc. for 16.22 times revenue

Weekly Corporate Growth Report, Oct 9, 2000

The Deal: DoubleClick Inc. has agreed to purchase @plan.inc. for $120 million. DoubleClick is acquiring @plan to help build its marketing research business. Double Click will pay $24 million in cash and $96 million in stock to purchase the online media research company. After the news of the acquisition was announced, shares of @plan rose $1.50 to $8.75, while DoubleClick shares fell $1.75 to close at $35.75.

Discussion: @plan.inc. provides more than 425 clients, which are made up of Internet advertisers, ad agencies and online retailers, the inside scoop on Web site usage access its proprietary systems and get attributes such as lifestyle information, product preferences and demographic data of Web site visitors. @plan.inc's data is collected by The Gallup Organization from a sample of about 40,000 Web users. The company counts eBay, Modem Media and Saatchi & Saatchi among its customers.

DoubleClick Inc. provides targeted ad serving for more than 1,500 Web sites using its proprietary DART technology. DART collects and analyzes audience behavior and predicts which ads will be most effective, measures ad effectiveness and provides data for Web publishers and advertisers. The company also licenses its technology to third-party publishers and ad agencies. In addition, the firm sells ad space across its network of sites, including AltaVista, Travelocity and Egghead.com.