Third Quarter M&A Activity Value Rises 200%

Third quarter merger, acquisition and investment activity in the marketing, information and digital media industries declined 1% in number of transactions compared to last year but total transaction value surged 200%, according to investment bank Petsky Prunier.

Strategic buyers accounted for the largest portion of overall activity, with 85 transactions (56% of total) worth an estimated $5.9 billion, according to the report.

While venture capital and growth equity investors remained active, investing broadly across all segments, continuing tight credit markets largely limited buyout activity to only four transactions during the quarter, Petsky noted.

Interactive advertising was the most active segment during the quarter, with 41 transactions amounting to approximately $1.5 million in value.

Marketing technology was the second most active segment during the quarter, with 39 transactions worth approximately $3.4 billion–the highest value for any segment, the report continued.

The digital media segment had 29 transactions worth $1.6 billion. User-generated/social and niche content were the most active sub-segments in this category and attracted interest from both strategic buyers and venture capitalists, according to Petsky.