Thanks to the M&A specialists at Franklin Partners, we are able to provide a comprehensive analysis of merger and acquisition activity involving Minnesota tech companies for the calendar year 2017.
High Level 2017:
+ A total of 68 transactions* involving Minnesota-based technology firms was reported in 2017. Like funding, this number is a minimum since there are always off record/nondisclosed transactions.
+ This represents a increase in deal volume of ~50% year over year, as there were 45 transactions in 2016.
Mid Level 2017:
Minnesota buyers: 30
Minnesota sellers: 24
Minnesota on Minnesota: 14
Busiest Quarter: Q4 (24 Deals / 35%)
Average deals/month: 5.5
Busiest Buyers: SportsEngine made four purchases in 2017 – making them the busiest buyer two years in a row.
Public company deals: 6 (Target & DIGI tied w/ 2 buys each)
Largest disclosed sales: Capella/Strayer ($2b); 3M Fiber Optics Line/Corning ($900m); Target/Shipt ($550m)
Low Level 2017:
+ Overwhelmingly B2B oriented as it relates to the customer base for product or service being acquired.
+Minnesota tech companies bought slightly more than they sold; MN:MN increased
+Asset = Product (45) vs. Service (15) vs. both/blended (8)
+Hardware saw a big jump in 2017, healthtech remains hyperactive, IT Consulting/Management services is consistently steady, while technology around supply chain, security, and manufacturing stand out.
*All source deals/data used in this report can be found chronological here; contact us [email protected] to inquire about purchasing the complete spreadsheet dataset of all transactions for year 2012-2017.