Marketing-tech company Sprinklr has acquired the social media business of one of Facebook's oldest marketing partners

• Sprinklr has acquired the social media business of Nanigans that helps marketers buy and manage ads on Facebook and other social platforms for undisclosed terms.
• The deal will bolster Sprinklr's performance-marketing expertise, said CEO Ragy Thomas.
• Nanigans also has an artificial intelligence business, which is not part of the deal and will be renamed.
• Sprinklr is eyeing other possible acquisitions, Thomas said.
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Marketing software company Sprinklr has acquired the majority of social media firm Nanigans for undisclosed terms.

Sprinklr and Nanigans have tools that help marketers buy and manage ad spend on social media platforms and messaging apps like Facebook, Twitter, LinkedIn, and Snaphat.

One of Facebook's oldest marketing partners, 9-year-old Nanigans helps advertisers buy social media ads and build products on top of Facebook's application programming interface. Nanigans, which has raised $32.9 million, works with performance-focused marketers like Wayfair and Quicken Loans. Its performance ad expertise will complement Sprinklr, which is best known for brand advertising, with clients including McDonald's and Microsoft, said Sprinklr CEO Ragy Thomas.

"They're in social media advertising, which obviously goes beyond Facebook," he said.

According to Sprinklr, the two companies would handle a combined $1.5 billion in advertising spend.

Business Insider reported in August that Nanigans was shopping its social-media business to advertising and marketing companies.

In addition to its social media arm, Nanigans also has an artificial intelligence arm of business that focuses on tracking incrementality. That business will continue to be run by cofounder and CEO Ric Calvillo and be renamed.

"We found ourselves with two very different businesses," Calvillo said. "The paid social business has always paid the bills, but we've struggled to do both."

Sprinklr wants to acquire other advertising and marketing tech companies

Nanigans is Sprinklr's 12th acquisition and its second in the realm of social advertising, and Thomas said he's eyeing more acquisitions.

As marketing cloud giants like Adobe and Salesforce acquire companies to build marketing tech stacks, Thomas said that Sprinklr is interested in other acquisitions. Marketers also are increasingly looking for ways to cut the number of tech firms that they work with.

"The digital media space for enterprise software has been consolidating, and we intend to be a consolidator," Thomas said.