Canadian private equity firm Novacap has agreed to acquire Integral Ad Science (IAS), a Nasdaq-listed digital ad verification specialist, in a deal that values the business at approximately $1.9bn, according to a report by Reuters.

Under the terms of the transaction, Novacap will purchase all outstanding IAS shares for $10.30 per share in cash, representing a premium of about 22% on the company’s previous closing price. IAS shares rose around 20% in pre-market trading following the announcement.

The deal, expected to close before year-end, will see IAS transition to private ownership. The company provides ad verification, fraud detection, and optimisation solutions to global brands and agencies, enabling them to improve campaign effectiveness and audience reach.

The move highlights continued private equity appetite for software and technology assets, particularly in areas linked to artificial intelligence and digital media. In recent months, Thoma Bravo has led a series of buyouts in the sector, including Verint Systems and HR software provider Dayforce.

Novacap manages over $10bn in assets and has a track record of investing in technology and digital services businesses.