MNTN, the parent company of Ryan Reynolds’ Maximum Effort, has entered into an agreement to offload its interest in the production company and digital marketing agency to “an affiliate of its original owner.”
The move was revealed in an S-1 prospectus by MNTN associated with its planned initial public offering. Per the filing, MNTN recorded a $13.5 million goodwill charge for its acquisition of Maximum Effort in August 2021.
As part of the transaction, which is expected to close on April 1, the two companies will enter into an agreement where Maximum Effort will continue to provide creative services to MNTN. Reynolds currently serves as MNTN’s chief creative officer.
Founded by Reynolds and producer George Dewey in 2018, Maximum Effort’s projects have included ads for Match.com, Aviation Gin, Mint Mobile, Wrexham AFC and the “Deadpool” film franchise.
Representatives for MNTN and Maximum Effort did not immediately return TheWrap’s request for comment.
MNTN primarily generates its revenue through usage-based fees from customers based on their level of ad spend on its platform, which it expects to continue to increase as connected TV adoption expands. It also generates revenue through Maximum Effort creative services and its QuickFrame creative marketplace.
Per the S-1, MNTN generated $225.57 million in total revenue in 2024, up 27.9% from $176.3 million in 2023. It also narrowed its net loss by 38% to $32.88 million in 2024, down from $53.28 million in 2023.
The increase in revenue was driven by a 56% year-over-year increase in “performance TV” customers, offset by a decrease in average spend per customer as a result of expanding into additional markets. This increase was also offset by a $4.5 million decrease in revenue generated from creative production services.
The Texas-based firm will trade on the New York Stock Exchange under the ticker symbol MNTN.
