Cherry Tree advises Deluxe the the acquisition of OrangeSoda, Inc.
Deluxe expands capabilities in rapidly-growing market for internet search, local and social online marketing for small businesses
Deluxe Corporation (DLX) today announced it has acquired OrangeSoda, Inc., a leading internet marketing services company specializing in search, mobile, and social media campaign strategies for small businesses. OrangeSoda provides services directly to small businesses as well as through a growing number of strategic partners in media, telecommunications, home services, and other industries. The company employs approximately 175 people and will continue to be headquartered in American Fork, Utah.
“Deluxe will accelerate revenue growth in marketing solutions and other services by combining our organic capabilities with OrangeSoda’s innovative solutions, scalable provisioning platform and tools, and established market presence,” said Malcolm McRoberts, senior vice president small business services at Deluxe. “Orange Soda has built compelling services offers and channels targeted at key small business marketing pain points. As a result of this acquisition, Deluxe adds differentiated solutions and capability that help support growth for our small business customers.”
Deluxe purchased OrangeSoda for $27.7 million in cash. The acquisition is expected to generate approximately $15 million in incremental revenue and be slightly dilutive to EPS for the remainder of 2012, after including transaction costs and acquisition-related amortization expense.
“Deluxe is a great fit for OrangeSoda because both companies are focused on helping small businesses grow their online presence,” said Jay Bean, CEO and founder of OrangeSoda. “Together we will have one of the most competitive suites of online services in the marketplace. We are also excited about the expanded services we can offer our combined channel partners, and the revenue potential of these relationships.”
About Deluxe Corporation
Deluxe is a growth engine for small businesses and financial institutions. Four million small business customers access Deluxe’s wide range of products and services including customized checks and forms as well as web-site development and hosting, search engine marketing, logo design and business networking. For financial institutions, Deluxe offers industry-leading programs in checks, customer acquisition, regulatory compliance, fraud prevention and profitability. Deluxe is also a leading printer of checks and accessories sold directly to consumers. For more information, visit us at www.deluxe.com. (Cherry Tree does not maintain, endorse, or make any representations as to the content accuracy or quality of this website.)
Founded in 2006, OrangeSoda offers online marketing to local businesses with a unique blend of intelligent service and simple technology. By harmonizing services that cover the entire search engine results page, OrangeSoda provides the best return on investment. By using insider knowledge of how people use the Internet and how local businesses work, OrangeSoda always targets the right customers for clients. By integrating services and technology, OrangeSoda makes it easy for partners to provide Internet marketing services to their customers