L90 agrees to buy DoubleClick's media business

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Los Angeles--L90 announced Monday it has agreed to acquire DoubleClick's media business for $5 million in cash and about $4 million in stock. The deal is expected to close this month.

L90 plans to consolidate its media operations under the name MaxWorldwide and drop the L90 name.

Under the terms of the agreement, DoubleClick acquired 4.8 million shares, or 16.1%, of the new company. It will be entitled to an additional cash payment of $6 million if certain performance goals are met.

MaxWorldwide will move its corporate headquarters from Los Angeles to New York, and senior managers of DoubleClick's media division will join the merged company. Mitchell Cannold, president-CEO of L90, will become president-CEO of MaxWorldwide.

A sales office of roughly 35 employees will remain in Los Angeles. A few back-office employees will not relocate to New York. "There's some duplication, but not much," a spokeswoman said.

--Carol Krol

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