AbaGada will become part of iProspect, whose clients include Microsoft, Asos and Camelot.
The purchase is part of Dentsu’s strategy to strengthen its presence in Israel and its neighbouring Middle East countries.
AbaGada offers search engine marketing to increase the number of visits from a search engine to corporate websites, as well as social media services.
Eyal Chen and Kobi Frankental, two former employees of Google in Israel, founded AbaGada in 2010. Its client roster includes Google, Danon and Johnson & Johnson.
Its 22 employees will transfer to iProspect. Chen will report to Thierry Jadot, the chief executive of Dentsu Aegis Network, France and Middle East.