M&A Roundup: Tech Data, RingCentral, Telarus, Datto, More
Private equity continues to shape the channel.
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Undoubtedly, the $7.2 billion mega merger between Tech Data and Synnex caught the eyes of the channel more than any other story.
The deal expands Synnex’s global reach and improves Tech Data’s relationships with IT titans HP and Lenovo. More importantly, the acquisition creates a $57 billion company that looks to be larger than rival Ingram Micro.
Ingram responded positively to the news, as did many partners. However, MSPs offered a wide variety of reactions, from excited to concerned.
The UCaaS provider bought end-to-end encryption provider Kindite.
Kindite gives RingCentral cryptographic technologies that help RingCentral mitigate cloud-based security and privacy risks. The companies did not disclose the financil terms of the acquisition, but the deal has already closed.
The Utah-based master agent announced the acquisition of Philadelphia-based Chorus Communications.
Chorus is a consultancy and master agent which had already worked with Telarus. Telarus announced the purchase four months after wrapping a Columbia Capital growth investment.
Learn about Telarus’ vision.
The security company sold its enterprise division to private equity consortium Symphony Technology Group.
The price tag totals $4 billion. Early speculation is that Symphony won’t significantly alter McAfee’s enterprise channel partner program. Symphony is the same firm that bought RSA in 2020 for more than $2 billion, and RSA remains in charge of its partner program.
Kelly Teal assembled an informative slideshow about the acquisition.
Speaking of Ingram, one of its divisions bought a professional services automation software company.
CloudBlue, which functions as Ingram Micro’s cloud commerce engine, made good on rumors that it would buy Harmony Business Systems. As a result, CloudBlue MSPs can tap into features like customer relationship management, automated billing and ticketing.
“As an end-to-end ecosystem provider, we recognize the value in providing the best experience, from services sourcing to the complexity of revenue management,” CloudBlue President Nimesh Davé said.
Check out Kelly Teal’s story.
The asset management software provider bought an enterprise service management solution provider.
Cherwell Software extends Ivanti’s service offering. In addition, the companies launch their newly combined partner program on July 1.
Edward Gately has the scoop.
The UCaaS and VoIP provider is buying NetSapiens.
The deal totals approximately $50 million. As a result, Crexendo gains access to NetSapiens’ popular cloud-native communications platform.
NetSapiens also recently announced its first formal partner program.
Email security provider KnowBe4 obtained MediaPro’s privacy, security and compliance training resources through an acquisition.
KnowBe4 increases its number of training modules as a result. In addition, MediaPro customers can utilize KnowBe4’s security awareness training and simulated phishing platform.
An analyst said KnowBe4 leaders intend to raise up to $100 million through an IPO.
Get details on the MediaPro acquisition.
The virtualization giant is purchasing Mesh7 in an effort to secure applications.
VMware at some point will launch an overall API solution that leverages Mesh7’s contextual API behavior security solution. But for now, VMware is working to integrate Mesh7 with its Tanzu Service Mesh.
Learn more about Mesh7.
The MSP and consultancy bought a North Carolina-based consultancy.
NextWave Technology Advisors helps ARG further its goal of combining organic and inorganic growth. ARG is seeking MSPs and agents who want to ally with ARG and use its platform.
ARG went on to acquire Freedom Solutions Group in April.
Thoma Bravo will spend $2.4 billion to buy French data company Talend.
Talend’s CEO said the private equity acquisition will give Talend the “capital, resources and expertise” it needs to corner the data integration market. The company joins Riverbed, Barracuda Networks and several other companies in Thoma Bravo’s portfolio.
Get details on their agreement.
Datto bought Israeli cyber threat detection provider BitDam.
BitDam provides expertise in phishing, which MSPs continually report as the most frequent ransomware method.
The acquisition came a month after Datto announced a partnership with ThreatLocker to help MSPs secure customer data.
Green Cloud Technologies closed its purchase of MSSP Cascade Defense.
They have officially combined to become Green Cloud Defense. Moreover, they are calling themselves one of the U.S.’s biggest channel-only infrastructure-as-a-service providers.
Check out Kelly Teal’s analysis.
The identity-as-a-service provider bought one of its rivals for $6.5 billion.
Okta purchased Auth0, which it will set up as an independent business unit. As a result, Auth0 will keep its platform for the time being. However, Okta plans to invest in both Auth0’s platform and its own, with a goal of eventually integrating them.
Edward Gately wrote about the transaction.
Two investment firms teamed up to buy data integrity provider Precisely.
Clearlake and TA Associates will function as Precisely’s majority shareholders, and Centerbridge Partners will move to a minority equity stake. A TA Associates executive said partners have offered up an “excited” reaction to the deal.
Learn more about Precisely.
The MSP bought a managed security service provider (MSSP).
Logically purchased Cerdant to beef up its recently launched security business unit. In addition, the acquisition gives Maine-based Logically a footprint in Ohio.
The MSP bought a managed security service provider (MSSP).
Logically purchased Cerdant to beef up its recently launched security business unit. In addition, the acquisition gives Maine-based Logically a footprint in Ohio.
The business technology sector continues to see big channel-impacting M&A.
Consolidation struck last month between some of the largest providers in the IT-telecom space. For example, two of the biggest IT distributors teamed up to take on Ingram Micro, and two large privileged access management providers are joining forces to take on CyberArk.
Moreover, private equity is getting more involved in enterprise technology than it ever has. Private equity acquisitions of Talend, Precisely and McAfee‘s enterprise group netted more than $10 billion in total if you add them all together. In addition, telecom master agent Telarus capitalized on a recent investment to buy a master agent/consultancy.
The customer-facing partner side saw M&A as well in March. A fast-growing MSP bought an MSSP, and a telecom consulting agency bought another consultant.
Scroll through the slideshow above to see the 17 instances of technology sector M&A in the last month.
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