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M&A News In The Technology, Media and Telecom Industry Sector

By Dan Vermeire | Aug 20, 2018

The report below provides a good overview of the third quarter M&A activity in the Technology, Media and Telecom Industry Sector. M&A activity for North American based target companies in the Technology, Media and Telecom (TMT) sector for Q2 2018 included 429 closed deals, according to data published by industry data tracker FactSet.

One of the notable middle market transactions was announced in May when Cisco Systems, Inc. acquired Accompani, Inc., trading as Accompany, a portfolio company of Resolutevc, LLC, Ignition Venture Partners, ICONIQ Capital, FLOODGATE Fund LP, Cowboy Capital LLC and Charles River Ventures, Inc., for US$270 million in cash and assumed equity awards. The acquisition enhances Cisco’s portfolio of software solutions. Accompani develops and publishes software tools for relationship intelligence. Its platform integrates email, contacts and social feeds to keep users informed on professional connections. The company was founded in 2013 and is headquartered in Los Altos, CA.

The video game market is experiencing explosive growth on mobile platforms. According to data from industry research group Newzoo, in 2018 the mobile video game market will generate $70.3 billion comprising 51% of the global video game market.

Industry Indicators

  • US corporate profits, which indicate corporate demand for computer software, rose 4.3% in the first quarter of 2018 compared to the same period in 2017.
  • US retail sales for electronics and appliance stores, a potential measure of demand for computer software, increased 2.1% in the first six months of 2018 compared to the same period in 2017.
  • Total US revenue for software publishers rose 15.9% in the first quarter of 2018 compared to the previous year.
  • Total US revenue for computer systems design and related services rose 2.3% in the first quarter of 2018 compared to the previous year.

Posted by Dan Vermeire.

Read the Entire Technology, Media & Telecom 3rd Quarter Newsletter Here


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