Novacap acquires Integral Ad Science in $1.9B deal, taking ad verification leader private

Private equity firm Novacap is taking a big swing in digital advertising with a $1.9 billion deal to acquire Integral Ad Science, the New York-based company best known for verifying whether ads actually reach real people.

Novacap, which manages more than $10 billion in assets, agreed to buy all outstanding shares of IAS for $10.30 each in cash. That’s a 22% premium over the company’s last close. The market responded quickly—IAS shares surged about 20% in premarket trading.

This is the latest sign of private equity’s appetite for software and data-driven businesses. Just last month, Thoma Bravo closed a $2 billion buyout of Verint Systems, adding to its spree of tech acquisitions. HR software provider Dayforce was another recent target. The pattern is clear: investors are betting that automation and artificial intelligence will drive the next wave of growth in enterprise software.

IAS has become a critical piece of the advertising ecosystem, offering verification, fraud detection, and campaign optimization services to brands and agencies. Its software helps marketers confirm that ads appear in the right places and reach real audiences rather than bots. Those guardrails are increasingly valuable as advertisers push for transparency in a market that’s been plagued by fraud and waste.

“Today’s announcement is an exciting milestone for IAS. As a private company with the support of Novacap, we will have access to new resources to achieve our strategic goals and further build upon the differentiated value we bring our customers as we advance our mission to be the global benchmark for trust and transparency in digital media quality,” said Lisa Utzschneider, CEO of IAS. “I’m proud of the strong momentum we’ve built for our company, the strength of our AI-powered measurement and optimization platform, and the outstanding work of our employees.”

Once the deal closes, expected by year’s end, IAS will shift from public company to private hands. For Novacap, it’s a calculated bet that ad verification—an often-overlooked but essential part of digital marketing—still has room to grow. For IAS, the move promises more flexibility away from Wall Street’s quarterly pressures, as it joins the growing list of software firms snapped up by private equity buyers.