AOL To Buy Millennial Media At a 31% Premium

Millennial Media Inc.'s stock soared 30% in premarket trade Thursday, after the mobile ad marketplace company agreed to be acquired by AOL in a deal that values Millennial at nearly $250 million. Under terms of the deal, AOL, which was recently acquired by Verizon Communications Inc. , will pay $1.75 for each Millennial share outstanding, which represents a 31% premium to Wednesday's closing price of $1.34. Millennial has about 141.6 million shares outstanding, according to FactSet. The deal is expected to close in the fall. "As we continue to invest in our platforms and technology, the acquisition of Millennial Media accelerates our competitive mobile offering in ONE by AOL and enhances our current publisher offering with an 'all in' monetization platform for app developers," said AOL President Bob Lord. Millennial's stock had tumbled 21% over the past three months through Wednesday, while the S&P 500 has lost 7.8%. Verizon's stock was indicated slightly higher in light premarket trade.