cogint, Blue Focus Combine Assets, Launch New Firm

US data intelligence specialist cogint and Hong Kong-based marcoms firm BlueFocus are to combine assets to form a new global marketing services organization. As part of the deal, cogint will spin off its data and analytics operations and assets into a separate company called Red Violet.

cogint uses proprietary analytics technology and a massive data repository to convert data from disparate sources into insight about people, businesses, assets and their interrelationships. The transaction involves BlueFocus' Canadian marcoms company Vision7, and its UK-based social media agency We Are Social; and cogint's people-based insights platform Fluent. In addition, BlueFocus, Vision7 International and We Are Social will contribute $100m in cash to fund a special dividend to pre-closing stockholders. When the deal closes, each of the brands will continue to operate as separate entities with their own management teams under the existing cogint legal entity, which will be renamed. BlueFocus will own 63% of the combined company, and existing cogint shareholders will own 37%.

Shares in Red Violet will be distributed to cogint's shareholders, and the new firm will launch with $20m in cash. Red Violet will be led by cogint's current management team with cogint co-founder and CEO Derek Dubner (pictured) as its Chief Executive Officer. Commenting on the deal, Dubner said: 'Combining Fluent with BlueFocus's international portfolio of marketing services businesses is a compelling opportunity for Fluent to achieve international scale and to integrate its unique ability to build custom audiences for the world's leading brands. I am equally excited to announce the spin-off of our data and analytics company and its new brand identity Red Violet, which is strongly positioned to leverage its innovative technologies to power its continued expansion'.

Web sites: www.cogint.com and www.bluefocusgroup.com .

All articles 2006-23 written and edited by Mel Crowther and/or Nick Thomas, 2024- by Nick Thomas, unless otherwise stated.