Automatic Data Processing (NYSE:ADP) announced early Friday that it entered into a definitive agreement to acquire Cobalt for $400 million cash.
Cobalt is a private company that provides digital marketing solutions to auto makers and dealers.
Cobalt complements ADP's dealer services division, ADP said in its press release.
Online advertisement spending is projected to outpace traditional channels of ads, ADP said.
Shares of ADP are down 1.4% in premarket action.
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