AcquisitionsMay 14, 2026, 04:21 PM
Marchex to Acquire Archenia for $10M Notes; Q1 Net Loss $(1.72)M
AI Summary
Marchex announced an agreement to acquire Archenia, Inc. for $10.0 million in convertible promissory notes, with potential additional stock consideration based on performance. For the first quarter of 2026, the company reported a net loss of $(1.72) million on revenue of $10.62 million, showing an improvement in net loss compared to the prior year. Marchex also finalized a legal settlement for $2.1 million and recognized a $0.2 million lease impairment loss.
Key Highlights
- Marchex to acquire Archenia, Inc. for $10.0 million in 6% convertible promissory notes.
- Potential additional 4.0 million Class B common shares for Archenia sellers based on performance targets.
- Q1 2026 revenue decreased 6.9% to $10.62 million from $11.40 million year-over-year.
- Q1 2026 net loss improved 13% to $(1.72) million from $(1.98) million year-over-year.
- Basic and diluted net loss per share improved to $(0.04) from $(0.05) year-over-year.
- Net cash used in operating activities significantly improved to $(0.51) million from $(2.62) million.
- Settled Telmetrics litigation for $2.1 million, with payments scheduled through May 2027.
- Recorded a $0.2 million impairment loss on right-of-use lease assets due to a sublease.
Price Impact
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