AOL is set to acquire Quigo, a site- and content-targeted online advertising company, which will allow AOL to offer contextual advertising that pairs ads with relevant Web page content.

Quigo's AdSonar technology enables advertisers to purchase ads on sites based on specific pages, sections, topics or keywords. The company offers a variety of advertising and pricing options, including text, display and video ads bought on a cost-per-click, cost-per-impression and cost-per-time basis.

FeedPoint, Quigo’s search engine marketing business, allows local and retail advertisers to manage their marketing relationships with the search engine and comparison shopping platforms.

The seven-year-old company has more than 500 publisher relationships, including a recently finalized deal with Time Inc., and a network of about 3,000 advertisers.

Quigo is the fourth advertising company that AOL has acquired this year. Other acquisitions include Third Screen Media, a mobile ad player; Adtech, an ad-serving platform; and Tacoda, a behavioral targeting company. Also, in September, AOL formed Platform-A, a digital display ad platform that reaches more than 91 percent of the online audience, the company said.

“With Quigo, we are putting the final pieces of Platform-A in place,” said Randy Falco, chairman and CEO of AOL. “We will be able to offer advertisers and publishers the most advanced set of tools, including contextual and behavioral targeting, superior analytics, and access to the largest display network in the marketplace.”
 
Financial terms of the deal were not disclosed. Quigo will operate as a wholly-owned subsidiary of AOL within the Platform-A organization, AOL said.