Taptica switches out CEO as RhythmOne underperforms

Advertising technologies outfit Taptica has appointed Matomy Media founder Ofer Druker as its next chief executive following a weaker than expected trading year for RhythmOne.

Druker, who had been "instrumental" in the successful integration of Taptica's somewhat recently acquired Tremor Video division, will join the group's board and take over as CEO immediately.

Non-executive chairman Tim Weller said: "Ofer is ideally placed to lead our business, having been instrumental in negotiating the merger with RhythmOne and, since joining the company, identifying and driving significant cost savings, synergistic benefits and revenue opportunities following Taptica's acquisition of Tremor."

With RhythmOne in mind, Taptica revealed that, on a standalone basis, the business' trading had been "below market expectations" in the year ended 31 March.

However, the board's outlook for RhythmOne remained unchanged as Taptica's directors "strongly believe" that, taking into account the business' trading performance to date, the merger was still "in the best interest of the shareholders".

"Taptica's directors would like to reiterate that the combined scale of the two businesses creates a leading player in the video advertising space, especially in the US, and strongly believe in the future success of the enlarged group," said the group.

Lastly, Taptica has approved a share buyback programme of roughly $15m worth ordinary shares.

As of 0825 BST, Taptica shares had slipped 5% to 190p.