Waltham, Mass. – January 13, 2010 – Unica Corporation (Nasdaq: UNCA), today announced that it has acquired privately-held Pivotal Veracity, a provider of tools that enable companies to optimize the deliverability and reputation of their digital communications, for approximately $17.8 million in cash.
“In a world where virtually all email is filtered, marketers must pay keen attention to how their digital communications are perceived and whether they reach the recipient’s inbox,” said Yuchun Lee, CEO of Unica. “We believe that email deliverability, which encompasses analysis and management of inbox placement, content rendering, and reputation management, is a mission critical technology for marketers and the entire email technology industry. Deliverability management, tightly coupled with technology that enables marketers to create the most relevant email possible, is the heart of email marketing. Acquiring Pivotal Veracity and integrating its technology into Unica’s leading marketing suite is a logical extension of our offerings.”
Lee added “Unica is already the only vendor recognized by independent analysts as a leader in enterprise marketing platforms, cross-channel campaign management, marketing resource management, and web analytics. The addition of Pivotal Veracity’s market-leading technology will further our objective to provide the most comprehensive best-of-breed SaaS and enterprise software suite to marketers and marketing services partners.”
Pivotal Veracity enables its customers to maximize email delivery effectiveness and reduce the opportunity cost of sending emails that never reach intended recipients, including those that are filtered by ISP and third party spam filter services, or end up in personal spam folders. Pivotal Veracity helps marketers ensure their emails are rendered correctly across a variety of devices, email clients, and browsers by allowing marketers to test readability before the email is sent. Pivotal Veracity also helps customers protect their corporate brands by minimizing the risk of being blacklisted, as well as ensuring that customers are actively protected by ISP and third party whitelists. Prior to the acquisition, Unica integrated Pivotal Veracity’s solutions into its enterprise and on-demand offerings; it expects to deepen that integration across both companies’ product lines and continue to sell Pivotal Veracity’s solutions on a standalone basis as well.
Pivotal Veracity was founded in 2003 and subsequently established itself as a leading email deliverability provider. In 2008, Pivotal Veracity’s email service provider (ESP) customers sent more than 15 billion marketing-related emails per month, representing a majority of emails sent by ESPs identified as market leaders in The Forrester Wave™: Email Marketing Service Providers, Q4 2009. Pivotal Veracity’s customers include Cabela’s, Cisco, Classmates.com, Digitas, Nestle, Progressive Insurance, Rapp Collins, and Sears, among many others.
Pivotal Veracity has a multi-year history of generating significant operating profit margins. The acquisition is not expected to have a material impact to Unica’s revenue in FY10 and should be neutral to slightly accretive to FY10 Non-GAAP EPS.
“We are extremely excited to become a part of Unica, a company admired not only for great technology but also for tremendous customer support and success. Our customers can continue to expect the high level of service to which they have become accustomed. Unica is also highly differentiated in its ability to optimize cross-channel marketing activities, and has a growing leadership position in online marketing,” said Deirdre Baird, CEO of Pivotal Veracity. “We look forward to contributing to Unica’s momentum in this rapidly growing market.”
Pivotal Veracity’s co-founders, Deirdre Baird and Michelle Eichner, will join Unica and guide the company’s efforts in email marketing and deliverability.