Berkery Noyes Releases Q1 2012 Media and Marketing Industry Mergers & Acquisitions Report
NEW YORK, April 5, 2012 /PRNewswire/ -- Berkery Noyes, an independent mid-market investment bank, today released its First Quarter 2012 Mergers and Acquisitions Trend Report for the Media and Marketing Industry.
Transaction volume in the Media and Marketing Industry improved seven percent. In addition, transaction value increased for the second consecutive quarter, representing a 38 percent increase from Q3 2011 and a 10 percent gain in comparison to Q4 2011.
The Marketing segment, which saw overall deal activity rise 13 percent, was bolstered by Digital Marketing's 68 percent rise in volume.
According to Kathleen Thomas, managing director at Berkery Noyes, "Content delivery is in the midst of a permanent transformation. Marketers have vast opportunities in front of them to reach customers effectively and efficiently and businesses have compelling new models to attract and monetize end users." For example, OwnerIQ's acquisition of DiJiPOP shows demand in the marketplace for solutions that facilitate the conversion of website visitors into paying customers. Targeted advertising and paid product placements that occur in real time are becoming even more popular among retailers, as highlighted by their more frequent use of social media to identify and engage potential consumers.
With 99 transactions, Internet Media M&A volume remained constant compared to the previous quarter. Nonetheless, one area of the Internet Media segment – online shopping guides – saw a 43 percent increase in volume. Groupon's acquisition of Adku, The Home Depot's acquisition of Redbeacon, and TaskRabbit's acquisition of SkillSlate all highlight buyer interest in companies that help consumers receive personalized recommendations. These types of customized results, which redirect people intelligently, are often formulated based upon prediction engines, proprietary search algorithms, and location based technologies.
Within the Internet Media segment, Groupon was the most active acquirer. Besides its acquisition of Adku, the deal site has completed two other Media and Marketing Industry acquisitions thus far in 2012: UpTake Networks and Hyperpublic. In comparison, Groupon had six information acquisitions for all of 2011, and most of those transactions were focused on the Online and Mobile Industry.
With five acquisitions, United Business Media Limited (UBM) led the Exhibitions, Conferences, and Seminar segment to its strongest quarter in the last 15 months. In the Entertainment segment, 18 of the 38 deals for the quarter were either video or online games. "Zynga's acquisition of OMGPOP.com for $180 million demonstrates the potential for M&A in social gaming, an area that appears poised for growth," said Berkery Noyes managing director Evan Klein. Mobile in particular is one of the fastest growing components of social gaming. Similar to last quarter, 33 percent of video game transactions in Q1 2012 placed into this category.
A copy of the Q1 2012 MEDIA AND MARKETING INDUSTRY M&A TREND REPORT is available at the Berkery Noyes website.
Berkery Noyes specializes in mergers and acquisitions and financial consulting services for companies in the $25 million to $500 million range, a market that is enjoying a surge in activity. Long having been an innovator in database and research technology in M&A, Berkery Noyes has committed itself to providing more expansive and current information. The firm's research teams publish acquisition activity in the respective sectors they follow on MandAsoft.com.
About Berkery Noyes
Berkery Noyes is an independent investment banking advisory firm servicing the information industry. Focused on middle-market corporations and financial sponsors, Berkery Noyes is committed to delivering a comprehensive array of industry-leading advisory services. Since its founding by Joseph W. Berkery in 1983, the firm has worked with corporate clients to grow through acquisition, divest non-core assets, and maximize shareholder returns through strategic transactions and restructurings. For private owners, Berkery Noyes helps create liquidity and execute timely exit strategies that achieve their personal and professional objectives. For more information, visit www.berkerynoyes.com.
Contact Information:
Peter Wilson
Berkery Noyes
646-442-7966
[email protected]
SOURCE Berkery Noyes
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