AOL is making a $900 million cash bid to buy Swedish online marketing specialist TradeDoubler in an effort to improve its Internet advertising in Europe, an Associated Press report said.
The Associated Press report said the bid offers 215 kronor ($30.60) per share for TradeDoubler, and the company's board has unanimously recommended its shareholders accept the offer, AOL said.
However, Swedish pension fund Alecta, which increased its stock holdings in TradeDoubler to more than 10%, rejected the bid, saying it was too low, the report said.
TradeDoubler shares soared nearly 15% to 227.50 kronor ($33.38) on the Stockholm exchange.
Time Warner CEO Jeff Bewkes said the acquisition would help AOL become a bigger player on the European online advertising market, the report said.Stockholm-based TradeDoubler was founded in 1999 and now has 334 workers with operations in 18 European countries. It had sales of â‚¬117 million ($151 million) in 2005, it added.