November 8, 2010, 11:53 AM

E-commerce helps drive merger and acquisition activity in October

Digital media and e-commerce firms accounted for 24 M&A transactions.

Allison Enright

Editor

Lead Photo

Merger and acquisition activity for the marketing, information and digital media and commerce  industries last month reached its highest level since May 2010. Overall, companies announced 85 transactions during October, a 6.3% increase from a year earlier, according to investment banking firm Petsky Prunier LLC.

98 transactions were announced in May. But while overall volume was up, the total valuation of the transactions, $2.6 billion, remained unchanged from October 2009. Within the sectors, digital media  and commerce accounted for 24 transactions with an estimated value of $1.08 billion, or 42% of the estimated total value for October. Social games and e-commerce were the most active subcategories for merger and acquisition activity within digital media and commerce sector. Each contributed five deals. 

Transactions included Amazon.com’s purchase of European private-sale site BuyVIP.com for $97.9 million; DeNA Co.’s purchase of Ngmoco Inc., a game developer for smart phones, for $303.0 million; and Autotrader.com’s acquisition of Kelley Blue Book, which provides valuations of new and used vehicles, for an estimated $500 million. Amazon is No. 1 in the Internet Retailer Top 500 Guide.

The digital advertising sector announced 15 transactions valued at an estimated $230.0 million during October. Five transactions in the digital video subcategory made it the most active segment within digital advertising, according to a Petsky Prunier analysis. The five transactions had an estimated value of $83.9 million and included Specific Media’s acquisition of Broadband Enterprises, an online video ad provider, for $55 million.

Comments

Sign In to Make a Comment

Comments are moderated by Internet Retailer and can be removed.

Not a member? Signup for free today!

Advertisement

Advertisement

Advertisement

Relevant Commentary

FPO

Jason Squardo / Mobile Commerce

Five tips for achieving high mobile search rankings

Searches on mobile devices will soon exceed those on computers, Google says. Retailers that keep ...

FPO

Sergio Pereira / B2B E-Commerce

Quill turns to its B2B customers for new ideas

Coming in April is a new section of Quill.com that will let customers and Quill ...

Advertisement