Digital
media M&A
Social media will dominate M&A in 2012 despite
healthy 2011 deal flow in the digital media and Internet space, a lot of
remaining companies need to be sold. In
social gaming, Facebook will be an
active buyer, and Asian buyers such as Nexon,
NHN and Tencent will be looking
for a North American foothold through acquisitions.
Highlights
of recent Digital Media M&A
transactions in Q1 2012 include:
-
Deloitte acquires mobile
apps firm Ubermind for $45 million.
- Youku acquires Tudou for $1 billion to create online video powerhouse.
- Populis Blog Network Buying in to Latin America and acquires Cidade Internet, a Brazilian portal which publishes 10 popular websites and other blogs including Fofocando, Automovel and Das Marias.
- Online game developer Shanda Interactive gets $2.3 billion management buyout by its CEO.
Online
Marketing M&A
There were 160 M&A transactions in the Online Marketing sector worth $4.6 billion for the 6 month period
ending March 29, 2012 versus 157 transactions worth $8.9 billion in the prior 6
month period ending September 29, 2011.
The breakdown between Strategic
versus Financial buyers by volume was relatively stable at 87% Strategic and 13%
Financial for the 6 month period ending March 29, 2012.
Highlights of recent Online Marketing M&A transactions
in Q1 2012 include:
- Mood Media Corp. acquires DMX for $86 million in cash. DMX provides multi-sensory branding services, delivering services to over 100,000 locations.
- Social analytics company and ad network 33across announced the acquisition of Tynt, a sell-side analytics tools company that aggregates data to tell publishers about their audience, protect their content and even leverage search engine optimization to drive traffic.
- GroupOn acquires FeeFighters, an online comparison shopping site for credit card processors. Groupon has been on a shopping spree lately, buying up a number of startups, including Kima Labs, Hyperpublic, Adku, and others in recent weeks.
- Vocus acquired iContact for approximately $91 million in cash, $9 million in common stock and $79 million in redeemable convertible preferred stock, aggregating $169 million of total consideration, net of $10 million cash acquired.
- Social mobile platform PlayPhone has acquired marketing specialist SocialHour for $51.5 million in stock.
The complete research report, including tables and graphs, can be downloaded (free) here:
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