Thank You Franklin Partners for underwriting the 2018 Minnesota Tech M&A Halftime Report.
- A total of 36 merger/acquisition transactions involving Minnesota-based technology firms was reported January 1 – June 30, 2018:
- This represents an increase of 60% – as compared to the same time period last year.
- Tracking for 70 by year end – which would be slightly above the 68 reported in 2017 calendar year.
- The largest disclosed deals so far this year are:
- Three Minnesota tech “startups” have been bought YTD: RedBrick (late stage), FlipGrid (early stage), and MyAlerts (mid stage)
Minnesota buyer deals:18 | Minnesota seller deals: 15 | Minnesota on Minnesota deals: 3
80% of transactions were for the entire company and 20% concerned a business unit/assets/IP
Private equity activity is accelerating:
- Provation bought by Clearlake Capital
- Redbrick sold to Marlin Equity Partners
- HGGC bought out HelpSystems
- NEP added Avtex
- Clearlake Capital bought Perforce
- RFE bought ThreeBridge
- Compass bought Logic
- Marlin bought, merged, and moved Redbrick Health
90% of deals involve B2B companies
Model: Software Product, Technology Services or Both
Deal breakdown by category