Stagwell Acquires Publisher Monetization Platform Freestar

Independent advertising holding company Stagwell has acquired Freestar, an ad-tech firm that manages digital advertising inventory for publishers such as Fortune and Boston Globe Media, Digiday reported on Oct. 26.

Under the terms of the deal, Stagwell will place Freestar inside its Owned Media division. The unit has accelerated its corporate activity since naming a chief executive in February.

Stagwell properties, including airport television network ReachTV and travel media company Ink, will now rely on Freestar to oversee their programmatic ad sales operations.

In turn, publishers currently working with Freestar will receive direct pathways to the brand advertisers, agencies and proprietary tools across Stagwell's network.

"Publishers are essential to a healthy media ecosystem, and we believe that their long-term success is critical to the future of our industry," Ben Berentson, CEO of Owned Media at Stagwell, told Digiday. Berentson added that Stagwell intends to continue investing in Freestar's operational capabilities across the programmatic marketplace.

For the media and advertising business, the acquisition highlights holding companies' push to control both ad inventory and the technology that sells it. As Hollywood Tomorrow notes, absorbing supply-side monetization tools gives agency networks greater leverage over digital ad yields and helps bridge the gap between media buyers and premium digital publishers.