Mergers and acquisitions (M&A) is an important business phenomenon, especially in business spheres connected with IT and innovations. August 2016 was rich in companies’ acquisitions. Let us introduce you a list of fifteen companies which have acquired businesses last August. The list is drawn up in date order.
1. Tesla and SolarCity
World-known electric car maker Tesla had made an offer in June on purchase of solar-energy company SolarCity. The all-stock deal values SolarCity at about $2.6 billion. If it is approved by shareholders, the deal would double Tesla’s workforce to nearly 30,000 employees and create a unique combination of solar, power storage and transportation. Impressive, isn’t it?
Interesting fact: the two companies already share many ties: Tesla’s CEO Elon Musk is a cousin of Lyndon Rive – the CEO of SolarCity.
2. The Marketing Group Plc and Augustus Group Ltd (with subsidiaries)
The Marketing Group Plc acquires Augustus Group Ltd and its subsidiaries. Augustus Group Ltd consists of three subsidiary businesses: Imagine Group (a ‘reality-TV’ content company, which creates unique content for multi-channel audiences), Marker Limited (delivers best in class b2b digital product development) and Astute Limited (a market leader in integrated digital solutions for b2b clients).
Deal to acquire Augustus Group Ltd and its subsidiaries was agreed at total value of $48.27 million.
3. KYOCERA and Melles Griot KK
Kyocera agreed to acquire all shares in Melles Griot KK — a Japan-based manufacturer specializing in optical components. This way the Kyocera Group aims to strengthen its product lineup and expand its optical component business by maximizing synergies between the companies.
4. SONY and eSATURNUS NV (“eSATURNUS”)
Sony has announced it has completed the acquisition of eSATURNUS NV (“eSATURNUS”), a Belgium-based company that provides leading clinical Video over IP solutions in the medical field. Sony says this transaction will help the company to provide new services and end-to-end clinical image workflow solutions for hospitals. Seems Sony continues entering into medical market. However this acquisition is not the first one in a sphere of medical-related business (let’s remind iCyt Mission Technology, Olympus and Illumina).
5. Fujitsu and SYMFONI ESM
Acquisition of Symfoni ESM, one of the most well-established and experienced ServiceNow partners in Northern Europe took place on the 4-th of August.
6. Apple and Turi Inc.
Apple acquired artificial intelligence startup Turi Inc. Turi helps developers create and manage software and services that use a form of AI called machine learning. It also has systems that let companies build recommendation engines, detect fraud, analyze customer usage patterns and better target potential users. It’s expected that iPhone producer could use this to integrate the technology with future products. Although Apple declined to comment on the financial terms of the deal, there were suggestions it was upwards of $200 million.
7. GOOGLE and Orbitera
The multinational technology corporation acquires on average, more than one company per week since 2010. So, it’s not surprising that Google announced one more acquisition: Orbitera joins the Google Cloud Platform team. Orbitera provides a commerce platform that makes buying and selling software in the cloud simple and seamless for all kinds of businesses. It’s anticipated that this acquisition will not only improve the support of software vendors on Google Cloud Platform, but reinforces Google’s support for the multi-cloud world. The users will be provided with more choice and flexibility. Financial terms of the acquisition were not disclosed.
8. INTEL and Nervana
The leading microprocessor manufacturer Intel announced it has acquired Nervana, a startup that has been developing artificial intelligence software and hardware. Terms of the deal weren’t disclosed, but a source familiar with the matter told Intel paid more than $350 million.
9. SAMSUNG and Dacor
The next day after Intel Samsung Electronics America announced it has entered into an acquisition agreement to purchase Dacor, a leading American brand in the luxury home appliance category. The acquisition marks Samsung’s continued investment in the home appliance market and an expansion of its portfolio to include ultra-premium home appliances under the Dacor brand. Dacor is a California-based company founded in 1965. The company will keep its name and manufacturing though it will be a wholly owned subsidiary of Samsung. The purchase of Dacor could result in more large appliances that are both high-end and smart.
10. Microsoft and Beam, Genee
Microsoft is going to improve its livestreaming experience with the newly-obtained livestreaming service. Beam platform allows viewers to interact with streamers during broadcasts. Seattle based Beam has a community of over 100,000 and was founded in 2014 by a teenage entrepreneur.
In eleven days Microsoft announced acquisition of Genee, a service powered by artificial intelligence that makes scheduling meetings a lot easier. Microsoft is going to integrate some of Genee’s features into its Office 365 services. The company will most likely integrate them into Outlook Mail and Calendar. The Genee service will shut down on September 1.
11. UBER and OTTO
Uber declared acquisition of Otto, a startup that’s been working on developing self-driving trucks. The sum of the deal is undisclosed. Uber's self-driving taxis will get their first real-world test in Pittsburgh this month, with the semi-autonomous vehicles assigned at random to customers using the company's app.
12. Pinterest and Instapaper
Few days later Pinterest Inc. said it had acquired article-bookmarking app Instapaper. Terms of the deal weren’t disclosed. Instapaper, founded in 2008, is one of many apps that lets people save webpages to be read later.
13. TripAdvisor and Citymaps
The world’s largest travel site unveiled acquisition of New York-based Citymaps – a social mapping platform that enables tourists to discover countless hidden gems and hot spots, near and far, all around the world. The website and app make it easy for consumers to find points of interest, navigate urban destinations and share favorite locations with friends. Earlier TripAdvisor noted that mapping technology is becoming increasingly important for travelers and 81 percent of U.S. travelers use maps on their smartphones when traveling. Therefore acquisition of Citymaps is quite reasonable for TripAdvisor.
14. Cisco and ContainerX
In the end of the month Cisco announced intent to acquire ContainerX Inc., a privately held early-stage eight person startup, based in San Jose, CA focused on helping manage and integrate containers. Terms weren’t disclosed.
15. SAP and Altiscale
The same day SAP said about acquisition of Altiscale, a startup that offers a cloud-based version of the Hadoop open source software for storing, processing, and analyzing lots of different kinds of data for $125,000,000. Both companies declined to comment.
Let’s hope that consequences of all these acquisitions will have a positive effect and make their parent corporations develop and prosper.