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Marketleap being acquired by Digital Impact

There is more signs of consolidation in the search engine marketing industry.

Integrated digital marketing products seller Digital Impact Inc. of San Mateo, says it is acquiring Marketleap, a San Francisco-based Internet marketing firm specializing in search engine marketing services, for $1.5 million in cash and 1.25 million of Digital Impact's shares and options.

The acquisition will enable Digital Impact to enhance its product lines by offering clients search engine optimization, paid inclusion and pay-for-placement solutions, it says.

Under the terms of the agreement, there's additional contingent consideration of up to 200,000 common shares of Digital Impact stock issuable at the end of Digital Impact's 2005 fiscal year if certain revenue milestones are met.

Source: Silicon Valley Business Journal