Digital media companies Inuvo and NYC-based Vertro, both publicly listed, this morning announced a merger agreement whereby Inuvo will acquire Vertro and its ALOT branded consumer applications business in a tax-free exchange of shares at an exchange ratio of 1.546 shares of Inuvo common stock per each share of Vertro common stock.
The combined entity intends to distribute and monetize digital media to millions of consumers across multiple platforms, according to a press statement.
In the combined company, Inuvo CEO Richard K. Howe will serve as Executive Chairman while Vertro CEO Peter Corrao will become president and CEO.
The companies assert that, combined, they can reach over 132 million unique Internet users on a monthly basis, and monetize about 2.5 billion page views per year.
The merger, which has been approved by both companies’ board, is expected to close in Q4 2011 or Q1 2012, subject to satisfaction of the closing conditions.