Entravision Expands into Southeast Asia with MediaDonuts Acquisition

Global media, marketing, and technology company Entravision Communications (EVC) has agreed to acquire digital marketing and branding company MediaDonuts.

Headquartered in Singapore, MediaDonuts operates in seven countries in the Asia-Pacific region and caters to over 500 technology and consumer brand clients. The transaction is expected to close on or around July 1.

The Southeast Asian market represents a major opportunity for Entravison as 400 million of its 700 million consumers are digitally connected.

Entravision Chairman and CEO Walter Ulloa said, “This acquisition is a natural fit with the overall digital and global transformation strategy of our business. Entravision has always focused on providing advertising solutions in high growth markets and partnering with the strongest media and technology platforms in the world.” (See Entravision stock analysis on TipRanks)

Ulloa added, “We believe that the incorporation of MediaDonuts into the Entravision platform adds leadership, sales operations, and digital offerings that will further propel our digital efforts.”

Last month, Noble Financial analyst Michael Kupinski reiterated a Buy rating on the stock and a price target of $7.75 (61.8% upside potential).

Entravision released Q1 results last month highlighting a 131% jump in revenue to $148.8 million. Kupinski commented, “The extraordinary growth was primarily driven by the October 2020 acquisition of Cisneros Interactive, which increased revenues a remarkable 43% on a proforma basis, as if the company owned the operations a year earlier.”

Furthermore, Entravison scores a 9 out of 10 from TipRanks’ Smart Score rating system, indicating that the stock has strong potential to outperform market expectations.

Shares have surged about 183.4% over the past year.

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