NEW YORK: PR Newswire (PRN) has acquired Denver-based software company The Fuel Team for $2.5 million, with up to an additional $4.5 million earnout to The Fuel Team over three years as it meets certain targets.
The two companies have worked together since entering a strategic partnership in 2004. The Fuel Team's technology has powered PRN's online newsroom and IR newsroom tools.
“We want the ability to have the technology that underpins those businesses, as well as the creative and strategic drive behind the extension of those businesses, all under our roof,” said Scott Mozarsky, EVP of customers at PRN. “If you look at the company and the way it's evolving, we want to be able to supply solutions that are underpinned by technology.”
In recent months, PRN has announced a number of staff realignments, including shifts just a couple of weeks ago that included a new hire - James King was added as SVP – and both the elimination and addition of positions.
The Fuel Team's co-founders - Dee Rambeau, Karen Meyer, and Jason Keller – will join PRN with titles that have yet to be determined. For The Fuel Team, the acquisition provides opportunities to leverage PRN's base of nonprofit and healthcare clients for its products geared toward those sectors, according to Keller, whose current title is managing partner. The two companies' long history provides also other synergies that will allow both companies to reach their business goals.
“We've had plenty of time to learn about them and their client base,” said Keller. “We've reached a point that to create the growth we both want, we needed to become tighter.”