M&A Snapshot Q1 2016

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M&A SNAPSHOT
Q1 - 2016
2014
Q1

Total M&A Exits (a)

494

2015

Q2

Q3

Q4

Q1

464

509

539

639

Q2

785

Q3

Q4

2016
Q1

604

630

688

Core M&A exits up 4%

year-over-year.
Down 16% from Q4.

Core M&A Exits (b)

70

74

63

76

80

$20.0

$20.5

94
79

45

$18.5

Consideration
Exchanged

86

$13.8

$12.3

$22.1

$14.8

$13.5

$9.4

$billions (b)
Average Consideration $188mm.
Up 6% year-over-year

Proportion Premium Value (c)

% of Total M&A Exits

3%

4%

4%

4%

4%

3%

3%

3%

3%

% of Core M&A Exits

42%

17%

18%

29%

27%

20%

24%

19%

25%

Source: Architect Partners LLC, Capital IQ, company filings and public information
a) M&A exits within Mobile | Internet | Digital Media sectors
b) Core M&A exits are defined as transactions with announced or estimated values between $25 million and $1 billion in consideration, as these typically represent successful businessbuilding endeavors
c) Premium value transactions are defined as greater than 5 times invested equity capital or 5 times estimated last twelve months revenue (LTM)

M&A BY SECTOR
Q1 - 2016

App
Consumer
Development Application
Service
Analytics
Provider
Application
12%
3%
8%
4%
Commerce
5%

Media

Security

Core Transactions by Sector

12%

27%

Enterprise
Application

4%
4%

Network
Infrastructure

13%
Hardware

10%
Digital
Marketing

Number of Deals
by Sector
SECTORS

$1,442

$5,493

Total sector M&A value in $mm

$217 $1,040 $162 $268 $803

$1,027

$2,084

$1,601

Source: Architect Partners LLC, Capital IQ, company filings and public information

$733

Consumer Application
Enterprise Application
Analytics Application
Network Infrastructure
App Development
Security
Commerce
Digital Marketing
Media
Hardware
Service Provider
3

PREMIUM VALUE DEALS

Q1 - 2016

Premium Value is defined as greater than 5 times invested equity capital

or 5 times the estimated last 12 months revenue (LTM)

Target | Acquirer

x LTM Revenue
LTM revenue multiple of
the target at the time of
acquisition

Fortnox AB | Visma AS
CliQr Technologies | Cisco Systems
Ustream Inc. | IBM Corporation

LTM revenue multiple of

the acquirer at the time
of acquisition

Tapad, Inc. | Telenor ASA

0

10

Target | Acquirer x Invested Capital

Tennis Channel | Sinclair Broadcast Group
RSI Video Technologies | Honeywell, Inc.
TouchType Limited | Microsoft Corporation
Conject Holding | Aconex Limited
Resilient Systems | IBM Corporation
Ravello Systems | Oracle Corporation
Trainline.com | Captain Train SAS
Bitstrips | Snapchat
Yodle, Inc. | Web.com Group
Fitnesskeeper Inc. | ASICS Corp.
Lytx, Inc. | GTCR, LLC
Replay Technologies | Intel Corp.
Inneractive Ltd. | RNTS Media SA
Xamarin Inc. | Microsoft Corporation
EpiWorks, Inc. | II-VI Incorporated
Digital Footprints International | Infoblox, Inc.
0

1.5

4.5

Source: Architect Partners LLC, Capital IQ, company filings and public information
* purchase price dependent on meeting EBITDA goals

7.5

10.5

12

13.5

15
4

MOST ACTIVE
ACQUIRERS LTM
(In terms of number of Acquisitions)

1.

2.
4 / 17 | $1.5B

4 / 15 | $3.2B

MinecraftEdu
TouchType
Xamarin
Zikera

IRIS Analytics
Optevia
Resilient Systems
Ustream

6.

4.

3.

7.

4 / 14 | $3.9B
CliQR Technologies
Jasper Technologies
Leaba Semiconductor
Synata

8.

5.
2 / 9 | $328mm

2 / 8 | $30mm

Bandpage
Circus Ponies Software

Emotient
LearnSprout

9.

2 / 7 | $550mm

2 / 4 | $500mm

1 / 6 | $18.4B

EMVANATAGE
NICE SRL

Ravello Systems
AddThis

Replay Technologies

10.
1 / 5 | $360mm
TappingStone

0 / 5 | $1.1B

Number of new deals in Q1 / total deals last 4 quarters | total spend last 4 quarters (a)
a) A number of transactions do not disclose acquisition price, so aggregate value of deals over the last twelve months is likely understated.
Source: Architect Partners LLC, Capital IQ, company filings and public information

CORE TRANSACTIONS
Q1 - 2016

Premium Value M&A

BUYER

TARGET

TRANSACTION
VALUE ($MM)

Aconex Limited

CONJECT Holding

74

Provides an infrastructure lifecycle management solution that

combines all real estate processes. Based in Munich, Germany.

ADVA Optical
Networking SE

Overture Networks, Inc.

40

Develops and manufactures high-speed carrier ethernet edge and

aggregation solutions. Based in Morrisville, North Carolina.

amaysim Australia, Ltd.

Vaya Pty Ltd.

50

Provides mobile, homeline, and data services in Australia. Based in

Brisbane, Australia.

Amdocs Ltd.

cVidya Networks Inc.

40

Provides revenue-analytic solutions and fraud management for

communication and digital service providers. Based in Plantation,
Florida.

ASICS Corp.

Fitnesskeeper, Inc.

85

Oers Runkeeper, a mobile platform that employs location technology

to allow users to track their workout performance. Based in Boston,
Massachusetts.

AspenTechnology, Inc.

KBC Advanced Technologies

220

BasWare Oyj

Verian Technologies, Inc.

36

elivers market-leading cloud procurement software to automate the

Purchase-to-Pay process. Based in Charlotte, North Carolina.

Be Heard Group plc

MMT Limited

29

Designs and develops Websites and applications for various industries

Based in London, United Kingdom.

TARGET DESCRIPTION

AP M&A
ALERT

VC-BACKED

Develops its Petro-SIM software for simulation of hydrocarbon

processes. Based in Surrey, United Kingdom.

Beijing Baofeng
Technology

Jiangsu Straw Bear Films Ltd

166

Provides X-ray metrology solutions for front-end and back-end

applications in the global semiconductors industry. Based in Austin,
Texas.

Beijing Baofeng
Technology

Gumptech Co.

162

Engages in online game publishing and distribution services. Based in

Beijing, China.

Beijing Navgnss
Integration Co

Beijing Ruitong Xinyuan

Semiconductor Technology

142

Develops micro-electro-mechanical-system (MEMS) chips

internationally. Based in Beijing, China.

Mobile | Internet | Digital Media M&A transactions with announced or estimated consideration between $25 million and $1 billion.

CORE TRANSACTIONS

(CONTINUED)

Q1 - 2016

Premium Value M&A

BUYER

TARGET

TRANSACTION
VALUE ($MM)

Beltone Financial Holding

SAE

Arab Finance Brokerage

Company

26

Oers Arab Finance iPhone application, an application that provides

real-time access to the Egyptian stock market. Based in Cairo, Egypt.

But'one Information
Corporation

Xin Chuan Hui

53

Develops avionics and electronic information platform. Based in

Beijing, China.

CCL Industries Inc.

Checkpoint Systems Inc.

529

Oers electronic article surveillance (EAS) systems, including antennas

and deactivation units, which act as a visible deterrent to merchandise
theft. Based in Thorofare, New Jersey.

CHTC Helon Co.

miaoju.cn

262

Operates as an Internet service provider operating, publishing, and

promoting online games. Based in Hangzhou, China.

Ci:z Holdings Co.

C's Lab Co.

34

Develops software for car navigation systems. Based in Sapporo-City,

Japan.

Cisco Systems, Inc.

Leaba Semiconductor Ltd.

320

Designs and develops semiconductor products and networking chips.

Based in Caesarea, Israel.

Cisco Systems, Inc.

CliQr Technologies, Inc.

260

Provides of application-defined cloud management solutions. Based in

San Jose, California.

Control4 Corporation

Pakedge Device & Software

Inc.

33

Supplier of advanced networking products and cloud networkmanagement services. Based in Hayward, California.

Espotel Oy and Soikea

Solutions Oy

Etteplan Oyj

32

Develops a multi channel online commerce platform. Based in Espoo,

Finland.
Oers eSummary, a record summarization tool for organizing,
analyzing, and summarizing legal records. Based in Redlands,
California.

ExamWorks, Inc.

EDCO Group Inc.

62

Fiserv, Inc.

ACI Worldwide, Inc.,

Community Financial
Services Business

200

TARGET DESCRIPTION

AP M&A
ALERT

VC-BACKED

Comprises online and mobile banking and payment systems. Based in

Naples, Florida.

Mobile | Internet | Digital Media M&A transactions with announced or estimated consideration between $25 million and $1 billion.

CORE TRANSACTIONS

(CONTINUED)

Q1 - 2016

Premium Value M&A

BUYER

TARGET

TRANSACTION
VALUE ($MM)

Futaihua Industrial
(Shenzhen) Co.

Jincheng Futaihua Precision

Electronics Co

91

GTCR, LLC

Lytx, Inc.

500

Guidewire Software, Inc.

EagleEye Analytics, Inc.

42

Oers predictive analytics software and consulting services to the

property and casualty insurance enterprises. Based in Columbia,
South Carolina.

Honeywell, Inc.

RSI Video Technologies

123

Oers Videofied, a video alarm system that sends a short video clip
with the alarm notification to the central station for immediate review.
Based in Strasbourg, France.

IBM Corporation

Resilient Systems, Inc.

100

Provides an incident response platform that empowers organizations

to thrive in the face of cyber-attacks and business crises. Based in
Cambridge, Massachusetts.

IBM Corporation

Ustream, Inc.

130

Provides live and on-demand video solutions. Based in Mountain

View, California.

62

Designs, manufactures, and sells radio frequency (RF) semiconductor

solutions for infrastructure and mobile communications, and data
transmission markets. Based in Warren, New Jersey.

49

Develops and manufactures compound semiconductor epitaxial

wafers for applications in optical components, wireless devices, and
high-speed communication systems. Based in Champaign, Illinois.

45

Oers ActiveSecure, which is a suite of business critical solutions that

secures and protects the integrity of a company's Internet presence.
Based in Tacoma, Washington.

II-VI Incorporated

Anadigics, Inc.

II-VI Incorporated

EpiWorks, Inc.

Infoblox Inc.

Digital Footprints
International LLC

Insight Venture Partners

Diligent Corporation

505

TARGET DESCRIPTION

AP M&A
ALERT

VC-BACKED

Engages in manufacturing tablet computers and set top boxes. Based

in Shenzhen, China.

Develops video-based driver safety/fleet management solutions.

Based in San DIego, California.

Oers Diligent Boardbooks application is an used board portal that

allows board members, management, and administrative sta to
produce, deliver, review, and vote on board materials. Based in New
York.

Mobile | Internet | Digital Media M&A transactions with announced or estimated consideration between $25 million and $1 billion.

CORE TRANSACTIONS

(CONTINUED)

Q1 - 2016

Premium Value M&A

BUYER

TARGET

TRANSACTION
VALUE ($MM)

Intel Corporation

Replay Technologies, Inc.

175

Develops video 3D reconstruction technologies. Based in Newark,

California.

Interswitch Limited

VANSO International Corp.

75

Provides wireless messaging and software solutions with a focus on

the banking industry in Dominica and internationally. Based in
Roseau, Dominica.

J.F. Lehman & Company

API Technologies Corp.

314

Manufactures systems, subsystems, modules, and components for

radio frequency (RF) microwave, millimeterwave, electromagnetic,
power, and security applications. Based in Orlando, Florida.

Learning Technologies
Group plc

Rustici Software LLC

37

Creates SCORM and AICC compliance products. Based in Franklin,

Tennessee.

Ledman Optoelectronic
Co.

VisionChina New Culture

Media Co.

120

Provides comprises mobile TV advertising. Based in Beijing, China.

TARGET DESCRIPTION

AP M&A
ALERT

VC-BACKED

Micro Focus International

Serena Software, Inc.

540

Develops online video marketing space to deliver multiscreen video

advertising formats from publishers and content owners on Internetcapable devices. Based in Hamburg, Germany

Microsoft

Xamarin, inc.

500

Develops software solutions for mobile application development and

creation. Based in San Francisco, CA.

Microsoft

TouchType Limited

250

Oers SwiftKey, a next-word prediction and auto-correction software

based on the context of users sentences on mobile devices. Based in
London, United Kingdom.

mobilcom-debitel GmbH

MEDIA BROADCAST GmbH

323

Oers broadcasting services in Germany. Based in Berlin, Germany.

25

Develops a mobile advertisement technology platform that helps

application developers, advertisers, and publishers to monetize their
mobile games and applications worldwide. Based in Sartell,
Minnesota.

Mobvista

NativeX LLC

Mobile | Internet | Digital Media M&A transactions with announced or estimated consideration between $25 million and $1 billion.

CORE TRANSACTIONS

(CONTINUED)

Q1 - 2016

Premium Value M&A

BUYER

TARGET

TRANSACTION
VALUE ($MM)

Nasdaq, Inc.

BoardVantage, Inc.

200

Operates an online dating platform in the Peoples Republic of China.

Based in Beijing, China.

NICE Systems Ltd.

Nexidia, Inc.

135

Develops phonetic-based technology solutions for audio and video

search. Based in Atlanta, Georgia.

Novomatic AG

Ainsworth Game Technology

Ltd.

353

Designs and manufactures the A600, Ambassador, and Celebrity

range of gaming products, as well as various standalone progressives
and linked games. Based in Newington, Australia.

Ooredoo Kuwait

Fast Telecommunication Co.

36

Provides Internet and networking services in Kuwait. Based in Kuwait

City, Kuwait

Qingdao Haili Metal One

Co.

Union Mobile Pay Ltd.

462

Provides m-commerce services and mobile banking applications in

China. Based in Beijing, China.

Quikr India Private

Limited

maxHeap Technologies Pvt.

Ltd.

200

Oers CommonFloor, a platform to provide a private portal for people

in residential communities. Based in Bengaluru, India.

Rambus Inc.

Smart Card Software Limited

92

Provides a smart ticketing platform and mobile payment platform.

Based in Swanley, United Kingdom.
x

TARGET DESCRIPTION

RealPage, Inc.

NWP Services Corporation

70

Provides utility management, energy management, electronic

payment, sub metering, and back oce solutions. Based in Costa
Mesa, California.

RNTS Media SA

Inneractive Ltd.

72

Operates as a mobile ad exchange company in Israel and

internationally. Based in Petach Tikva, Israel

San Bian Science &

Technology Co.

Shenzhen Southern Galaxy

Valley Technology Co.

426

Develops and operates WiFi services across subways and metro trains
in China. Based in Shenzhen, China.

Shanghai Hongtou
Network Technology Co.

Jagex Ltd.

300

Develops and publishes free-to-play online games for players around

the world. Based in Jiangsu Province, China.

Mobile | Internet | Digital Media M&A transactions with announced or estimated consideration between $25 million and $1 billion.

AP M&A
ALERT

VC-BACKED

10

CORE TRANSACTIONS

(CONTINUED)

Q1 - 2016

Premium Value M&A

BUYER

TARGET

TRANSACTION
VALUE ($MM)

Shanghai New Culture

Media Group Co.

Shanghai Purity Media Co.

332

Oers television program production services in China. Based in

Shanghai, China.

Shenzhen Refond
Optoelectronics Co.

HT Flex PCB Precision

Technology Co.

30

Develops and produces high density and high reliability printed circuit
boards. Based in Shenzhen, China.

Siemens
Aktiengesellschaft

CD-adapco Group, Inc.

970

Provides engineering simulation software, support, and services.

Based in Melville, New York.

TARGET DESCRIPTION

AP M&A
ALERT

VC-BACKED

Sinclair Broadcast Group,

Inc.

The Tennis Channel, Inc.

350

Develops a SaaS-based software that improves operational and

financial performance of physician practices. Based in Aliso Viejo,
California

Snapchat, Inc.

Bitstrips Inc.

100

Develops a mobile application that turns people into their own set of
personal emojis that are shared in a chat application. Based in
Toronto, Canada

Sony Corporation

Altair Semiconductor Ltd

200

Develops ultra low power mobile WiMAX silicon solutions for

handsets and handheld devices. Based in Taiwan.

Stantec Inc.

MWH Global, Inc.

793

Oers information technology solutions, such as mTOOLS, a software

that allows for real time collaborative data analysis and automated
data reporting to support business decisions. Based in Broomfield,
Colorado.

SuperMap Software Co.

Nanjing GUOTU Information

Industry Co.

72

Develops and provides mapping software services. Based in Nanjing,

China.

Telenor ASA

Tapad, Inc.

360

Provides cross-device marketing solutions. Based in New York, New

York.

Times Internet Limited

Willow TV, Inc.

100

Operates a portal for live Internet streaming of sporting events. Based

in Bangalore, India.

U-Next Co., Ltd

ARTERIA Networks

27

Comprises fixed broadband line business for housing complex. Based

in Tokyo, Japan.

Mobile | Internet | Digital Media M&A transactions with announced or estimated consideration between $25 million and $1 billion.

11

CORE TRANSACTIONS

(CONTINUED)

Q1 - 2016

Premium Value M&A

BUYER

TARGET

TRANSACTION
VALUE ($MM)

Videotron Ltd.

Fibrenoire Inc.

89

Provides fibre optic connectivity services to telecommunications

companies and Internet service providers in Canada and
internationally. Based in Montreal, Canada.

Visma AS

Fortnox AB

169

Provides Internet-based business applications for companies,

associations, schools, and accounting and auditing firms in Sweden.
Based in Vxj, Sweden.

Vtech Holdings Ltd.

LeapFrog Enterprises Inc.

93

Designs, develops, and markets technology-based learning products

and related proprietary content for children worldwide.

Web.com Group, Inc.

Yodle, Inc.

342

Provides online marketing services to local business owners. Based in

New York, New York.

Wirecard AG

MoIP Pagamentos S.A.

41

Provides online payment management services throughout Brazil.

Based in Sao Paulo, Brazil.

35

Provides card transactions processing, card personalization, and retail

sector services for financial and non-financial institutions in Romania.
Based in Bucharest, Romania.

Wirecard AG

Xiamen San'an Integrated

Circuit Co.

Provus Service Provider S.A.

GCS Holdings, Inc.

TARGET DESCRIPTION

244

Operates as a semiconductor wafer foundry service provider that

manufactures various semiconductor devices in the United States.
Based in Torrance, California.

AP M&A
ALERT

VC-BACKED

Yellow Pages Limited

JUICE Mobile

26

Oers Nectar, a proprietary ad platform, which enables to buy and

sell mobile advertising across various connected devices. Based in
Toronto, Canada.

Youzu Interactive Co. Ltd

Beijing Fancy Guo

Technology Co., Ltd.

295

Develops Web Three-Dimensional (Web 3D) internet entertainment

software. Based in Beijing, China.

Youzu Interactive Co. Ltd

Bigpoint GmbH

90

Provides Bigpoint.com, a Web 2.0 game portal that oers browser

games from various areas. Based in Hamburg, Germany.

ZG Ventures, LLC

Cricket Media Group Ltd.

31

Provides content on a learning network for children, families, and

teachers. Based in Herndon, Virginia.

Mobile | Internet | Digital Media M&A transactions with announced or estimated consideration between $25 million and $1 billion.

11

OTHER NOTABLE DEALS

Q1 - 2016

Premium Value M&A

BUYER

TARGET

TRANSACTION
VALUE ($MM)

Apple, Inc.

Emotient, Inc.

NA

TARGET DESCRIPTION

AP M&A
ALERT

VC-BACKED

Provides facial expression recognition and analysis technologies.

Based in San Diego, California.

Cisco Systems Inc.

Jasper Technologies, Inc.

1,400

Develops cloud-based Internet of Things (IoT) platforms that enable

enterprises and mobile operators to launch, manage, and monetize
IoT services in the United States and internationally. Based in Santa
Clara, California.

Cloudability, Inc.

Datahero, Inc.

NA

Operates as an online portal that allows user to analyze, visualize and

understand their data. Based in Palo Alto, California.

Dalian Wanda Group

Corporation Ltd.

Legend Pictures, LLC

3,500

Produces and distributes content for television and digital platforms

worldwide. Based in Burbank, California.

Ebates, Inc.

Shopular, Inc

NA

Develops a proximity-marketing mobile application for shoppers

based on their preferences. Based in Redwood City, California.

Golden Brick Silk Road

Fund Management

Opera Software ASA

1,365

Develops and sells Web browsers for computer, tablet, and mobile
applications worldwide. Based in Oslo, Norway.

Linkedin Corporation

Connectifier, Inc.

NA

Develops an online platform for discovering, qualifying, and

connecting with candidates among various recruiting technologies.
Based in Costa Mesa, California.

Oracle Corporation

AddThis

NA

Operates a social sharing and analytics platform for sharing online

content. Based in McLean, Virginia.

10,339

Provides information, insights, and analytics to multinational

companies, governments, small companies, and technical
professionals in various industries worldwide. Based in Englewood,
Colorado.

Markit Ltd.

Time, Inc.

IHS Inc.

Viant Technology Inc.

NA

Viant is the premier people-based advertising technology company,

enabling marketers to plan, execute and measure their digital media
investments through a cloud-based platform. Based in New York, New
York.

M&A transactions with consideration in excess of $1B or with unannounced transaction values

12

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