The deal will help create a unified omnichannel platform covering a range of areas from branding to performance across all screens, including connected television, mobile and web.

Teads was previously owned by Altice, which is nominating two of the 10 board members for the new unified company.

Outbrain chief executive David Kostman will serve as chief executive officer at the combined company, while former Teads chief executives Jeremy Arditi and Bertrand Quesada will assume the roles of co-president, chief business officer of the Americas and international respectively.

The transaction is valued at approximately $900m, comprising $625m in cash and 43.75 million Outbrain shares.

The united Teads will have a combined advertising spend of approximately $1.7bn, reaching 2.2 billion consumers.

Kostman said: “Together, we are creating an extraordinary new company, combining the best of both organisations’ deep expertise in omnichannel video branding solutions and performance advertising.

“I want to thank the teams of both Outbrain and Teads, who have pioneered major advertising categories, and have built leading global companies over more than a decade. It is their innovation and commitment that have brought us to this moment and will propel us to new heights.”

Arditi added: “We’re committed to creating a solution that will harness the untapped opportunity of the open internet, and allow all of its constituents to thrive.

“We believe that by prioritising beautiful creative experiences, trust and transparency in media, and delivery of meaningful outcomes, we can create a stronger ecosystem that provides value for all.”