invidis.com and sixteen-nine.net have united
Lamar Advertising operates more than 359,000 outdoor displays across the U.S. and Canada. (Image: Lamar Advertising)
Lamar Advertising operates more than 359,000 outdoor displays across the U.S. and Canada. (Image: Lamar Advertising)

Acquisitions: Lamar Acquires AdSource Outdoor

The acquisition adds more than 230 billboard faces, including 30 digital displays, to Lamar Advertising’s Louisiana portfolio.

Lamar Advertising has acquired the assets of AdSource Outdoor Advertising, expanding its Louisiana billboard network with more than 230 faces, including 30 digital displays.

The acquisition closed on August 12 and strengthens Lamar’s presence, particularly in southwest Louisiana. AdSource was founded in Lake Charles in 2003 before expanding its outdoor advertising footprint statewide.

The deal was structured as a UPREIT, or Umbrella Partnership Real Estate Investment Trust, transaction. AdSource contributed its assets to Lamar Advertising Limited Partnership, the operating partnership that holds Lamar’s assets, in exchange for common units in the partnership.

The units track the value of Lamar’s Class A common stock and receive equivalent cash distributions. They can also be converted into cash or Lamar Class A shares.

According to Lamar, the structure allows it to issue partnership units to billboard owners on a tax-deferred basis when completing acquisitions, and the company sees the structure as a potential model for additional acquisitions involving billboard owners looking to diversify their holdings while retaining exposure to the outdoor advertising industry.

Lamar operates over 359,000 outdoor advertising displays across the United States and Canada.