The report below gives a good overview of the fourth 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 sector for Q3 2019 included 409 closed deals, according to data published by industry data tracker FactSet.
One of the notable middle market transactions in the sector was announced in September when Commvault Systems, Inc. acquired Hedvig, Inc. for US$225 million in cash, contingent and future payout, subject to customary transaction adjustments. Hedvig is a portfolio company of Atlantic Bridge Ventures, Redpoint Ventures, True Ventures LLC, HC Capital Management LLC, Hewlett Packard Ventures LLC, Oman Investment Fund and EDB Investments Pte Ltd. Founded by Avinash Lakshman in 2012, Hedvig Inc is located in Santa Clara, California and provides software defined storage solutions.
Industry Indicators
- US corporate profits, an indicator of corporate demand for software, has risen 2.7% in 2019 compared to the same period in 2018.
- Total US revenue for software publishers has risen 11.4% in 2019 compared to the previous year.
- Total US consumer spending, a driver for the IT needs of consumers, rose 1.4%, primarily from services expenditures, in August 2019 compared to the same month in 2018.
- Total US revenue for computer systems design and related services has risen 7.1% in 2019 compared to the previous year.
Posted by Dan Vermeire.
Read the Entire Technology, Media and Telecom 4th Quarter Newsletter Here