A2Z Cust2Mate Solutions Corp. (NASDAQ: AZ), a company transforming in-store retail through a connected commerce platform, has completed its acquisition of Hedia, an Israeli retail media company with fiscal 2025 audited revenue of approximately $20 million. The deal, announced in a press release, combines A2Z Cust2Mate's AI-powered smart cart technology, digital in-store retail media inventory, shopper journey data, and measurement capabilities with Hedia's advertiser relationships, sales organization, and campaign execution capabilities. This strategic move positions the combined entity to capitalize on the growing retail media market, offering retailers and brands new ways to engage shoppers and monetize physical stores.
Under the terms of the agreement, A2Z Cust2Mate paid approximately $8.4 million in cash and issued 833,333 restricted common shares at closing. Approximately $7 million of the cash consideration is expected to be funded through a commercial bank term loan. Additionally, the sellers are eligible for up to approximately $6.7 million in performance-based cash consideration tied to agreed targets for 2027 and 2028. Based on Hedia's historical financial results, A2Z estimates that Hedia would have contributed approximately $2.3 million in annual adjusted EBITDA. Hedia will continue operating under its existing brand, with Meron Gal remaining CEO and Ofer Gal remaining chairman, ensuring continuity and leveraging their expertise in the retail media space.
The acquisition is significant as it integrates A2Z Cust2Mate's smart cart technology—which creates a continuous digital connection with shoppers throughout the in-store journey—with Hedia's retail media capabilities. This combination enables retailers and brands to deliver targeted media and offers at the point of decision, while capturing real-time data on shopper behavior. As retail media continues to grow, this merger enhances A2Z Cust2Mate's ability to help retailers monetize their physical stores and measure the impact of campaigns closer to the point of purchase. The company's modular platform, which includes advanced software, AI, computer vision, and purpose-built hardware, is designed for enterprise-scale deployment, making it well-suited to meet the needs of large retail chains.
For investors and industry observers, this acquisition underscores the increasing convergence of technology and retail media. A2Z Cust2Mate's connected in-store commerce platform aims to create new revenue opportunities for retailers through retail media monetization, operational efficiency, and loss mitigation. The company works with retailers, brands, and partners across multiple markets to bring data-driven personalized experiences to physical stores. As noted in the press release, the latest news and updates relating to AZ are available in the company's newsroom at A2Z Cust2Mate Solutions Corp. (NASDAQ: AZ). The full press release can be viewed at https://ibn.fm/oQnFb.
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