Yatter, the Edinburgh-based advertising agency, has been acquired by Liverpool-based ecommerce specialist Velstar just three years after formation.
London-based M&A consultancy Cactus worked with Yatter throughout the acquisition.
Yatter has enjoyed consistent growth since starting out in 2021, currently managing over £10 million in
annual client ad spend.
A leading Scottish pay-per-click and paid social agency, Yatter has a portfolio of 60-plus clients including Loch Lomond Group and Countrywide, employing 12 people in the capital.
No jobs are under threat as a result of the agreement, which sees Yatter become the only Shopify Plus partner agency in Scotland.
Details of the deal remain undisclosed.
Yatter founder and CEO Gavin Bell, 30, said: “Velstar have emphasised they acquired us for a reason; that we have the skills and people they need in their business.
“It’s thrilling to see our teamʼs expertise join Velstarʼs growing capabilities across the likes of Shopify, while the team will also benefit from wider career progression opportunities.
“Myself and business partner Dave McCall look forward to working closely with Velstar over the coming year
to ensure a seamless integration that enhances our client offering and drives even greater results.”
Founded by Dan Sheard in 2016, Liverpool-based Velstar surpassed its ambition of reaching a £6 million turnover by this year, and buoyed by the acquisition of Yatter, Velstar is on course to generate in excess of £10 million of annual revenue in 2024 — an increase of 250% since 2022.
Velstarʼs purchase of Yatter sees the firm establish a presence in Scotland for the first time. The move follows the acquisition of Leeds-based B2B agency 9XB in August 2024, Surrey agency WeTeachCRO in March 2024 and
Chester-based marketing agency We Influence in October 2022.
Velstar CEO Peter Birks said: “This is a positive move for the Velstar group as we continue to expand our
services and grow our team and expertise. With our building strategic plans for 2025, I am confident there are
exciting and rewarding times ahead for our customers and colleagues.”