Sizmek is trying to sell the DSP for up to 36 million. This is the first asset sale since Sizmek filed for chapter 11, The Wall Street Journal reports. A bankruptcy judge scheduled a hearing to consider Sizmek’s sale request on April 29, and Zeta is available to buy.
According to the newspaper, Sizmek proposes to sell the DSP in a private sale with no competitive bidding.
Sizmek needs to sell its the DSP and DMP to avoid the collapse of their value as going concerns. After filling for chapter 11, many exchanges cut off the access to Sizmek DSP. Sizmek clients are being pushed to other DSPs.
Zeta considered buying Rocket Fuel (now Sizmek DSP) in 2017, but according to Ad Exchanger, it wasn’t competitive with Sizmek, which acquired the Rocket Fuel DSP for $145 million.
Zeta is a marketing-technology and cloud-software company co-founded by John Sculley in 2017. Zeta provides CRM solutions based on data-driven marketing and machine learning. Zeta’s CEO is David A. Steinberg.
Sizmek has 1,114 employees worldwide (486 Employees in the US) and is operating in 19 countries. Sizmek is owned 90% by Vector Capital and 10% by lender Cerberus Capital Management LP. Sizmek debtors have approximately $172 million of funded indebtedness. On March, 29, Sizmek filed for chapter 11, activating a bankruptcy process in the court of Southern District of New York.