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AdTech M&A in 2024 Nice article from Catherine Perloff on the M&A trends within AdTech. Three things to think about: 1. Increased activity, adjusted valuations: Transaction volume nearly doubled, yet prices reflect current market realities. 2. Strategic portfolio optimisation: Firms pursue targeted acquisitions whilst divesting non-core assets swiftly. 3. Shifting buyer landscape: Fewer private equity and tech giant purchasers; AdTech firms lead consolidation efforts. Link to article: https://lnkd.in/enQ9KGAy **** Enjoy this and work in Advertising? Follow Rishan Chopra for more.

Article from ADWEEK on Adtech M&A. M&A Is Up, But With Fewer Buyers and Lower Valuations After a deal drought in 2023, mergers and acquisitions in adtech are heating up. Adtech-focused investment bank LUMA Partners said there were almost twice as many significant, scaled adtech transactions in the first half of 2024 compared to the first half of 2023, according to senior associate Michael DeMarseilles. More specific data isn’t available until the end of the quarter. At venture capital firm Aperiam Ventures, deal flow has increased in the first half of 2024 compared to 2023, said general partner Eric Franchi. Private equity firm GTCR said the pipeline for technology deals (a broader category than adtech) is up 50%, according to managing director Stephen Master. Notable deals so far this year include data firm LiveRamp’s $200 million acquisition of clean room company Habu in January, Walmart’s $2.3 billion acquisition of TV maker Vizio in February and TV advertising company Cadent’s $324 million acquisition of performance marketing firm AdTheorent in April. #adtech #mergersandacquisitions #investments #finance #investmentbanking #technology #advertising

𝟮𝟬𝟮𝟰 – 𝗧𝗵𝗲 𝘆𝗲𝗮𝗿 𝗼𝗳 𝗮𝗱𝘃𝗲𝗿𝘁𝗶𝘀𝗶𝗻𝗴 𝗠&𝗔 𝗱𝗲𝗮𝗹𝘀? These topics fuel this year’s acquisitions: 🟡 Raise of AI, CTV, and Retail Media 🟡 Chrome’s Cookie deprecation Who are the most-likely strategic acquirers of #AdTech and #MarTech in 2024? 1️⃣ 𝗔𝗰𝗰𝗲𝗻𝘁𝘂𝗿𝗲 …could address data privacy and AI model gaps in clients’ mar tech stacks via ad tech acquisitions. 2️⃣ 𝗔𝗺𝗮𝘇𝗼𝗻 …is likely to complement existing ad business by acquiring start-ups that specialise in data & analytics, retail technology, or logistics. 3️⃣ 𝗗𝗼𝘂𝗯𝗹𝗲𝗩𝗲𝗿𝗶𝗳𝘆 …shows strong stock price growth (60%), $250M+ in cash, no long-term debt, and loads of new strategic partnerships. Strong signals for future acquisitions. 4️⃣ 𝗛𝗮𝘃𝗮𝘀 …might look to buy a contextual advertising solution to supplement legacy data acquisitions. 5️⃣ 𝗠𝗮𝘁𝗰𝗵 𝗚𝗿𝗼𝘂𝗽 …could accelerate advertising product development through acquisitions of mobile ad tech. 6️⃣ 𝗡𝗲𝘅𝘅𝗲𝗻 (former “Tremor International Group”) …already bought Spearad, Unruly and Amobee. The company has $200M+ in cash and has recently bought back a lot of shares. Indications for an appetite for further acquisitions. 7️⃣ 𝗧𝗵𝗲 𝗧𝗿𝗮𝗱𝗲 𝗗𝗲𝘀𝗸 ..may look to acquire companies that help reinforce their identity play. 8️⃣ 𝗪𝗮𝗹𝗺𝗮𝗿𝘁 …might acquire ad tech capabilities to continue grow its retail media business. Source: Business Insider, 2024 ➡ What are your M&A predictions for 2024? 🚀 #DigitalAdvertising #Acquisitions

I see it differently. I think D2C brands are about to get a new wave of investment from private equity. However, I anticipate that this capital will primarily flow into intellectual property (IP) and brands operating within niche e-commerce sectors. So, the generic D2C companies that sell everything under the sun might fall back a bit, while the companies with their own brand are likely to take off.

The direct-to-consumer boom is coming to an end. A once-bustling group of companies, backed by billions in venture capital funding, saw a record year for IPOs in 2021. Now, three years later, most of those direct-to-consumer, or DTC, companies still struggle with profitability. Interesting perspective this time from CNBC #casper #allbirds #peloton #amazon #ebay #walmart

🤩 Headline Asia congratulates the 17LIVE Inc. team on their acquisition by VTAC, making history with 𝐒𝐢𝐧𝐠𝐚𝐩𝐨𝐫𝐞’𝐬 𝐟𝐢𝐫𝐬𝐭 𝐒𝐏𝐀𝐂 𝐦𝐞𝐫𝐠𝐞𝐫. 17LIVE is the 𝐟𝐢𝐫𝐬𝐭 𝐥𝐢𝐯𝐞-𝐬𝐭𝐫𝐞𝐚𝐦𝐢𝐧𝐠 𝐛𝐮𝐬𝐢𝐧𝐞𝐬𝐬 𝐭𝐨 𝐛𝐞 𝐥𝐢𝐬𝐭𝐞𝐝 𝐨𝐧 𝐭𝐡𝐞 𝐒𝐆𝐗, paving the way for the digital media and entertainment sector on SGX. The acquisition will enable the platform led by Joseph Phua (Chairman and co-founder), Alex Lien (CEO), Jing Shen N. (CTO), Kenta Masuda (CFO), and a team of 800+ strong, to further expand its global reach. 🪴 After leading their Series A in 2015, our partners Akio T. and Joseph Huang helped build out 17LIVE operational and back office functions to allow the founders to focus on their product as well as driving 17LIVE expansion from Taiwan into the Japanese market. One year later, 17LIVE blossomed into 𝐭𝐡𝐞 𝐍1 𝐥𝐢𝐯𝐞-𝐬𝐭𝐫𝐞𝐚𝐦𝐢𝐧𝐠 𝐩𝐥𝐚𝐭𝐟𝐨𝐫𝐦 𝐢𝐧 𝐉𝐚𝐩𝐚𝐧. “Eight years ago, we saw the birth of a new industry when the original founders of 17LIVE in Taiwan invented a smartphone native live-streaming that connected individual creators to their fans. We are very fortunate to join the journey of a Taiwanese startup expanding to Japan to become a true global business and an icon for the new industry.“ noted Akio Tanaka. Headline Asia subsequently led 17LIVE series B in 2017 and raised close to $20m for the company. 💹 With 88K paying users and 87K contracted live-streamer, 17LIVE became experts at monetizing their high-quality traffic and user base, scaling their revenue more than 100X over the past 7 years and making it the top pure-play live-streaming platform (#1 ARPU) in Japan and Taiwan combined. As a business with a core focus on technology, 17LIVE offers highly differentiated and scalable product lines including live-streaming, V-Liver and live commerce.  Vertex Technology Acquisition Corporation (VTAC) has voted (95.2% of shareholders) for a merger with the Asia live-streaming powerhouse. The completion of the acquisition on December 8th sees VTAC transition into the 17LIVE Group, and trading will begin at 9AM the same day. 🤝 One of the big growth initiatives of 17LIVE is V-Liver technology as it is expected to grow 4x in Japan between 2023 and 2027. Currently, 17LIVE has over 2000 V-Livers and the community of live streamers is growing exponentially, to become the largest in Japan. Our founding partner, Akio Tanaka will continue to be a member of the board and we are looking forward to seeing 17LIVE scale bigger and expand into the growing market of Southeast Asia! 🔗 Click here to read more: (CNBC) 👉 https://lnkd.in/gt3vd5zK (Deal Street Asia) 👉 https://lnkd.in/gfSwBjjA c.c Jill Tsou, Po Yuan Huang, Kai Jhou, Hsi Yu Hwang, 周芯伃, Jade Huang, Yiwen Chiu, Chen-Ling (Lillian) Chuang, Akihiko Okamoto, CHEN-HSI (Claire) LIAU, Brian Yen, Jennifer Lin, Tzu Ning ( Kate ) Liu, Isamu Nishijima, Shimakawa Toshiaki,

TikTok ban is jet fuel for $4B Triller / AGBA reverse merger. But this is financial engineering to salvage 2 struggling companies. Retail investors, be wary! Let’s break it down… TARGET: Triller • “AI-powered” music-focused social video platform • Founded 2015 by Bobby Sarnevesht and Ryan Kavanagh • Owns Bare Knuckle league, Amplify.ai, Julius, Thuzio, FITE • Raised $218M+ and TBD debt • Biz model = rev share, ticket sales / PPV / subs / merch, advertising, platform fees • Rapid US and int'l growth via TikTok bans (e.g. India) • 200 est employees PERFORMANCE • 2.2M creators, 450M+ user accounts • 2023 revenue of $45M, down from $54M in 2022 • Q3 YTD showed $104M loss, $378M in debt / liabilities vs $6M current assets • $1M cash & equivalents CONTROVERSIAL HISTORY • 2022 Sony sued for unauthorized music use • 2023 UMG sued for same reason  • Owes music rightsholders $23.6M in unpaid fees • 2022 called off $5B reverse merger with video ad platform SeaChange • 2022 missed M&A payment to Verzuz owners • Filed for NASDAQ IPO in Aug 2023 and Jan 2024 • Reputation for inflating users and usage TARGET: AGBA • Tech-driven wealth mgmt and financial services • 4 biz lines: Platform, Distribution, Healthcare, Fintech  • Founded 1993 by TBD • Focuses on the Guangdong-Hong Kong-Macao Greater Bay Area • Biz model: interest income, commissions, asset mgmt fees • Publicly listed on NASDAQ, holding co registered in BVI, operates in HK  PERFORMANCE • Stock fell 80% 4Q 2022, has traded < $1 since July • $140M market cap, $19M of cash ($17M is restricted), $18M debt • 400k individual and corp customers • 2023 revenue of $54M, up 74% YoY, but a loss of $43M • 176 est employees DEAL DETAILS • All stock deal, AGBA acquiring Triller in reverse merger • New combined AGBA will be 80% owned by current Triller stockholders and RSU holders • Current AGBA shareholders will own 20% of new combined co • Expected May close VALUATION • Triller at $3.2B and AGBA at $800M, for $4B total • …BUT seeking alpha estimates as of 4.23 AM stock price, Triller’s real valuation is $1.3B •….and based on TikTok share repurchase valuation of 17x revenue, implies $765M Triller valuation • As of 4.23 AM stock trading at $2.40, up 500% from $0.40 the day pre announcement DEAL RATIONALE / SYNERGY • Leverage Triller’s large social audience to drive traffic to AGBA’s financial services and create more engagement via live events, webinars, etc  • Create personalized AGBA financial services via Triller user analytics and insights • But IMO here’s the real angle… • “access public capital markets and secure the liquidity needed for rapid growth” – aka a cash grab from retail investors • Triller is being aggressive when competitor TikTok faces US regulatory challenges (senate vote is today, Tuesday!) More analysis to come in my Friday newsletter! --- I’m the founder of RockWater Industries. We do m&a and strategy advisory for #media #agency #creatoreconomy. DMs are open.

📈 Unicommerce IPO: SoftBank, Snapdeal Cofounders Added as Promoters. Unicommerce, a leading e-commerce enablement platform, has included SoftBank and Snapdeal cofounders as promoters ahead of its initial public offering (IPO). This strategic move aims to strengthen Unicommerce's market position and attract investors. 🚀 Promoter Addition: - Unicommerce has added SoftBank and Snapdeal cofounders, Kunal Bahl and Rohit Bansal, as promoters. - This inclusion comes as part of Unicommerce’s preparation for its upcoming IPO. 🔍 Strategic Importance: - Having high-profile promoters like SoftBank and Snapdeal cofounders can significantly boost investor confidence. - Their involvement is expected to enhance Unicommerce’s credibility and attract more attention to the IPO. 💼 Company Overview: - Unicommerce provides e-commerce solutions, including inventory management, order fulfillment, and omnichannel retailing. - The company has established itself as a key player in the e-commerce enablement space, catering to numerous clients across various sectors. 📈 Market Impact: - The addition of prominent promoters is likely to positively influence Unicommerce’s valuation and appeal in the public markets. - This move could also facilitate strategic partnerships and collaborations, further strengthening Unicommerce’s market position. 💡 Future Prospects: - The IPO is expected to provide Unicommerce with the capital needed to expand its operations and innovate its product offerings. - The involvement of seasoned entrepreneurs and investors as promoters may open up new growth opportunities and market expansions. 📅 IPO Timeline: - Specific dates for the IPO have not been disclosed yet, but the preparatory steps indicate a structured and strategic approach to going public. Unicommerce's decision to add SoftBank and Snapdeal co founders as promoters ahead of its IPO is a strategic move aimed at enhancing its market credibility, attracting investors, and positioning itself for future growth in the competitive e-commerce enablement sector. #Unicommerce #IPO #SoftBank #Snapdeal #Ecommerce #MarketExpansion #InvestorConfidence #StartUpNews #BusinessNews #MicroShots #NewsUpdates

Most founders think companies get bought, not sold. I don't see it this way. When solving a billion-dollar problem, building with the exit in mind is necessary. An example with Miros. Indisputable product-market fit could mean becoming a strategic acquisition for the world's biggest e-commerce retailers. This is what I’ve learned after four exits and wish I had learned in my first. Sell. Don't get bought. #founder #ai #exit #unicorn #productmarketfit

Adtech investment trend alert:📈 LiveRamp's recent acquisition of Habu for $200 million signals a strategic move in the adtech industry, highlighting the increasing importance of post-cookie and privacy-compliant solutions. This acquisition positions LiveRamp as a leader in the evolving adtech landscape, where the demise of third-party cookies has prompted a search for innovative alternatives. 💡This acquisition is likely to catalyse a wave of M&A activities in the industry, where companies with advanced technologies and privacy-centric solutions become sought-after targets. As the adtech sector navigates the cookie-free landscape, the focus on compliant customer data platforms like Profila will play a pivotal role in shaping the industry's future. Investors are increasingly recognising the strategic value of companies that address the challenges posed by evolving privacy regulations, positioning Profila and similar platforms as key players in the next phase of digital advertising. #profila #customerexperience #marketingofthefuture #zerosurveillance #zeroknowledgeadvertising https://lnkd.in/dnaeBTJ2