Affle to Acquire Perion Network in $420 Million All-Cash Deal to Expand CPCU Business

Affle 3i Limited's Israel-based subsidiary, Affle 3iL Ltd., has signed a definitive agreement to acquire all outstanding shares of Perion Network Limited (NASDAQ & TASE: PERI) for $11.70 per share in cash, an implied equity value of approximately $420 million, according to Affle's press release filed with the National Stock Exchange of India and confirmed by CNBC-TV18.

Strategic Rationale for the CPCU Business

Affle said the acquisition is designed to expand its CPCU (Cost Per Converted User) business globally. In its NSE filing, Affle described the deal as combining Perion's "established presence, including in all upper funnel digital advertising channels in developed markets" with Affle's "leadership in deeper funnel mobile marketing and AI-powered performance-led consumer conversions in emerging markets," adding that the combination would "strategically transform and materially expand the total addressable market opportunity for our CPCU business globally."

Affle also said its CPCU-powered solutions are expected to enable consumer conversion outcomes such as CTV-to-Cart and DOOH-to-Cart retail commerce for Perion's advertisers, per the company's filing. Affle CEO Anuj Khanna Sohum said, according to a Yahoo Finance report on the merger announcement, that combining Affle's mobile marketing leadership with Perion's presence across Retail Media, CTV, DOOH and other digital channels "will enable us to drive greater synergies across the omnichannel consumer journey on intelligent connected devices." Perion CEO Tal Jacobson called the agreement "an important milestone" for the company, per the same report.

Go-Shop Period and the Possibility of Competing Bids

The merger agreement includes a 40-day "go-shop" period expiring at 11:59 p.m. local time in Israel on December 11, 2026, during which Perion and its financial advisor can actively solicit and consider alternative acquisition proposals, according to the Yahoo Finance report and the Jerusalem Post. Perion stated there is "no assurance that this process will result in a superior proposal," and said it does not intend to disclose developments in the go-shop process unless it determines disclosure is appropriate or required. Affle's own filing separately acknowledges, among its listed risks, "the possibility that competing offers or acquisition proposals for Perion will be made" that could affect completion of the deal.

Deal Structure, Financing and Background

The transaction is not subject to a financing condition, with Citibank, N.A. providing debt financing, according to Calcalist and Yahoo Finance. Perion held no financial debt and approximately $228.3 million in cash, short-term bank deposits and marketable securities as of September 30, 2026, per the same reports. By our calculation, based on those two disclosed figures, the $420 million headline price represents roughly $191.7 million above Perion's reported cash position ($420 million minus $228.3 million), though neither source frames this gap as an explicit valuation of the operating business.

Canaccord Genuity is acting as exclusive financial advisor and Meitar Law Offices as legal counsel to Perion; LUMA Partners is financial advisor and Barnea Jaffa Lande & Co. is legal counsel to Affle, per the Yahoo Finance report and Affle's NSE filing. Affle said it would remain net debt-free immediately after the acquisition and expects a revenue run rate exceeding $700 million in fiscal year 2028.

Calcalist reported that Perion's decline traces back to 2024, when Microsoft changed the terms of its search advertising arrangement with distribution partners including Perion, sharply reducing the revenue Perion generated from its Bing relationship. Calcalist's figures project Perion's annual revenue falling from nearly $900 million in 2024 to approximately $400 million by 2026.

The transaction, unanimously approved by Perion's board per Calcalist, is expected to close in early 2027, subject to Perion shareholder approval, expiration of the Hart-Scott-Rodino antitrust waiting period, and other customary closing conditions. Upon closing, Perion will become a wholly-owned subsidiary of Affle, continue operating under the Perion brand, and its shares will be delisted from Nasdaq and the Tel Aviv Stock Exchange, according to Yahoo Finance and CNBC-TV18. CNBC-TV18 also reported that Affle 3i shares ended down 2.72% on the BSE, at ₹1,345.00, following the announcement.

Bottom Line

Affle has framed the Perion acquisition as a way to pair its emerging-market mobile conversion strength with Perion's upper-funnel advertising footprint in developed markets, expanding the addressable market for its CPCU business. Whether the 40-day go-shop window ending December 11, 2026 produces a rival bid is an open question: Perion has said there is no assurance the process will yield a superior proposal and that it may not disclose interim developments. Completion of the deal still depends on Perion shareholder approval and expiration of the Hart-Scott-Rodino waiting period, with closing expected in early 2027, per the company statements cited above.