Hedia brings a profitable foundation to the partnership, reporting roughly $20 million in revenue for fiscal year 2025. Since its founding in 1988, the firm has built a robust network of advertiser relationships, including major global brands such as Procter & Gamble, Unilever, and Nike. By absorbing these capabilities, A2Z aims to create an end-to-end ecosystem that manages everything from campaign planning and shopper marketing to digital signage and electronic shelf labels.
For A2Z, the acquisition serves as a commercial engine designed to monetize its existing smart-cart infrastructure. CEO Gadi Graus noted that while his company provided the technological data and measurement tools, Hedia offers the necessary sales force and operational model to scale these solutions into new markets. Hedia will continue to operate under its current brand, with Meron Gal remaining as CEO and founder Ofer Gal continuing as Chairman to oversee strategic growth.
The transaction includes a performance-based earn-out of up to $6.7 million, contingent on hitting specific financial targets in 2027 and 2028. A2Z expects the acquisition to contribute approximately $2.3 million in annual Adjusted EBITDA, utilizing the subsidiary's cash flow to service the bank financing used to fund the initial purchase.
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