Comments on: M&A Activity Heats Up In July To $9.6 Billion

By: Amit Mukherjee

Amit Mukherjee — Sat, 01 Aug 2009 22:06:43 +0000

Citing median acquisition value does nothing to explain the statement “bargains might not last.” All this tells you are the sizes of the companies being acquired. A $1.1 billion company is cheap if it is truly valued at $2 billion.

The statistics you should be showing are the changes in comparable multiples, ratios such as enterprise value/revenue, enterprise value over EBITDA, etc. These are the statistics that determine whether or not an acquisition is a good bargain.

By: Weniger davon, mehr von dem anderen… • Börsennotizbuch

Weniger davon, mehr von dem anderen… • Börsennotizbuch — Fri, 31 Jul 2009 19:36:15 +0000

[...] Die Mergers & Acquisitions melden sich im Mai eindrucksvoll zurück; das Transaktionsvolumen steigt stark auf 9,6 Mrd. USD (TechCrunch). [...]

By: Peter Tran

Peter Tran — Thu, 30 Jul 2009 22:32:25 +0000

It’s a survival stage for some Web 2.0 startups that have high burn rates (e.g. SearchMe went bye bye). Thank goodness we don’t and can ride out this wave.

By: Guias Local

Guias Local — Thu, 30 Jul 2009 18:41:19 +0000

Seeing this chart shows promise and hope for the future of the economy.

By: MC

MC — Thu, 30 Jul 2009 17:50:50 +0000

Agreed. Data are great. Relative to EBIT and Revenue is more interesting.

By: Brad

Brad — Thu, 30 Jul 2009 17:28:17 +0000

Great point. EV includes all sources of capital, so it’s primarily equity + debt – cash. I say primarily because you should also add preferred, convertible, minority interest, etc. It’s basically what you’d have to pay to own the ENTIRE company without obligations.

By: George

George — Thu, 30 Jul 2009 16:36:22 +0000

How do you calculate EV for a private company?

By: links for 2009-07-30 « A little Jack with that?

links for 2009-07-30 « A little Jack with that? — Thu, 30 Jul 2009 11:34:45 +0000

[...] M&A Activity Heats Up In July To $9.6 Billion >> TechCrunch [...]

By: pj

pj — Thu, 30 Jul 2009 11:08:20 +0000

Although M&A groups pitch all the time, there is tons of time pressure on actual M&A transactions because this is the best way to ensure confidentiality.

By: Akshay Jain

Akshay Jain — Thu, 30 Jul 2009 10:48:06 +0000

For the sake of simplicity we can consider that lets take numbers from the month when the deal was announced. Anyways if you take it over a year or more then the data starts making more sense since a kind of cycle is followed. So if lets assume that typically a deal takes 4 to 6 months then also it will be cyclical in nature and still what we are seeing is a fairly correct assumption

By: Your daily dose of social media required reading | CompareMobiles.com

Your daily dose of social media required reading | CompareMobiles.com — Thu, 30 Jul 2009 10:32:25 +0000

[...] • M&A Activity Heats Up In July To $9.6 Billion >> TechCrunch [...]

By: Gael

Gael — Thu, 30 Jul 2009 09:02:10 +0000

I think those are great stats but, any merge & acquisition takes a long time before it is made public and/or announced.

Here we are only seeing the result of all of them, and they happen to be in July.

So I know wonder when those transaction (M&A) started?

By: Michael Downing

Michael Downing — Thu, 30 Jul 2009 06:09:06 +0000

You forgot about Bankrate, purchased by APAX….which is significant because we will likely see PE groups get active as a new class of acquirors, due to the existing amount of funds they have raised and the fact that acquisitions dont require debt (unlike traditional LBO/MBO’s) that they are accustomed to.

By: Dean Higginbotham

Dean Higginbotham — Thu, 30 Jul 2009 05:17:23 +0000

Yeah it seems to ebb and flow – looks like we’re starting on an uptrend. Nice

By: Will

Will — Thu, 30 Jul 2009 05:16:23 +0000

Should be noted that because of this M&A activity, there was a 50% reduction in “Why is this news?” comments.

By: yang

yang — Thu, 30 Jul 2009 05:16:17 +0000

any rumors on what apple might acquire?

By: Will

Will — Thu, 30 Jul 2009 05:15:06 +0000

Suffice to say, Techcrunch is Techcrunch again.

By: Dan Levine

Dan Levine — Thu, 30 Jul 2009 05:09:01 +0000

Actually I use R, it goes a long way. I like to support the open-source community.

By: cmbl

cmbl — Thu, 30 Jul 2009 05:03:05 +0000

Just wondering if you are using SPSS for all the statistical calculations ?

By: Akshay Jain

Akshay Jain — Thu, 30 Jul 2009 04:59:19 +0000

I agree with Kevin above. This is good collection of statistics by TechCrunch and really insightful. Thank you TC

Just wondering if you are using SPSS for all the statistical calculations ?

By: Blogfornoob Dot Com

Blogfornoob Dot Com — Thu, 30 Jul 2009 04:50:57 +0000

wow…. ang yaman… heheh thanks for sharing….

By: russ

russ — Thu, 30 Jul 2009 04:48:31 +0000

it would be more interesting to see the implied EV/LTM revenue multiples of these transactions. puts everything on equal footing and prevents one huge transaction from skewing a data set.

By: Kevin Milden

Kevin Milden — Thu, 30 Jul 2009 04:21:00 +0000

I like that Crunch base actually collects all this data and tells us that the overall things are looking up. Thank you for doing this.