Daily Deal Activity 02/20/14

Noteworthy:

hr software

The Blackstone Group and GIC have invested $750 million for a 44 percent equity stake in workforce management solutions company Kronos. The transaction values Kronos at around $4.5 billion, which includes debt. Hellman & Friedman and JMI Equity had been seeking to sell the entire company for more than $4.6 billion, but did not receive adequate offers.

Digital Media/Commerce

ecommerce

Specialty retail jeweler Zale Corporation (NYSE:ZLC), was acquired by Signet Jewelers (NYSE:SIG) for a reported $690 million, at a valuation of 0.6x revenue, and 16.9x EBITDA. The combined company will have approximately 3,600 retail locations in the U.S., Canada, Puerto Rico, and the UK with combined sales of $6.2 billion and enhanced operating capabilities expected to generate approximately $100 million in annual synergies.

mobile content/apps

Acompli, which provides an application that combines email, calendaring, file sharing, predictive searching, and contacts, has raised $7.3 million in Series A funding led by Redpoint Ventures, with participation from Harrison Metal and Felicis Ventures. The company’s service, which will support Microsoft Exchange, Google Apps and Gmail, will be available in the second quarter of 2014.

Digital Advertising

email services

France-based Tedemis, which provides real-time personalized email marketing solutions, was acquired by advertising retargeting company Criteo (Nasdaq:CRTO) for $29 million. With the acquisition of Tedemis, Criteo will offer advertisers a multi-channel performance marketing solution that is customer centric.

mobile marketing

Citessentials, a developer of SMS messaging software for businesses that enables direct consumer marketing, was acquired by telecommunications service provider Impact Telecom. The acquisition enhances Impact Telecom’s commercial and telecommunications product and services portfolio. Terms were not disclosed.

Marketing Technology

crm

Smart Remarketer, which provides customer intelligence for multi-channel retailers, has raised $7 million in Venture funding led by Battery Ventures. The new capital raised will be used to accelerate the company’s growth and expand its customer intelligence platform.

mrm/workflow management

Dunwello, a company that designs and develops business productivity software, has raised $1.4 million in seed funding from NextView Ventures, G20 Ventures, BOLDStart Ventures, Vegas Tech Fund, and individual investors.

mrm/workflow management

MINDBODY, a software company providing business management software for personal service businesses in the health, wellness, and beauty industries, has raised $50 million in funding, at a valuation of around $450 million. The new capital raised was led by W Capital Partners, with participation from Montreux Equity Partners, Catalyst Investors, Bessemer Venture Partners, and Institutional Venture Partners. The investment brings the company’s total funding to $98 million, and is designed to be the last round before the company files for an IPO in 2015.

social technology

Czech Republic-based social customer care platform Brand Embassy, which provides a customer service tool for the identification and engagement of dissatisfied and influential customers, as well as measuring consumer satisfaction in the social Web, has raised $1 million in seed funding led by Rockaway Capital and Spread Capital. The company will use the funding to expand its sales and product development team, launch product features, and grow globally.

Agency & Marketing Services

branded communications

Customer experience agency HYDRANT, was acquired by integrated brand experience agency Cibo. The integration of the two companies will deliver depth in brand storytelling, user experience, design, and marketing technology solutions. Terms were not disclosed.

Dm agency

SolutionIQ, which provides digital marketing services including social media, brand marketing, and website content development, was acquired by Illuminati Studios, which also provides digital marketing services to businesses in North America. Terms were not disclosed.

specialty agency

Canada-based communications firm Kingsdale Shareholder Services, was acquired by marketing communications services provider MDC Partners (TSX:MDZ.A). For MDC, the deal capitalizes on growing demand for proxy solicitation services. The acquisition allows Kingsdale to grow its company beyond Canada. Terms were not disclosed.

Traditional Media

consumer book publishing

PublishNext and Seattle Book Company, which offers services that enable authors to publish their books, were acquired by Thomson-Shore, a provider of book printing, binding, and manufacturing services. Through the acquisitions, Thomson-Shore will now offer an end-to-end platform that includes publishing, production, and distribution services. Terms were not disclosed.

entertainment media

UK-based ITV (LSE:ITV) has acquired a 51 percent stake in DiGa Vision, which operates as an independent producer of reality and scripted programming. The acquisition represents another step forward in ITV’s strategy of building a international content business and is an important addition to the Group’s growing portfolio of production companies. Terms were not disclosed.

Technology & Communications

big data technology

Sweden-based developer of Big Data software and infrastructure solutions Findwise Search Center, was acquired by Meltwater, which provides online intelligence solutions for big data insights. The acquisition will strengthen Meltwater’s engineering organization with the development of a global R&D center. Terms were not disclosed.

financial technology

Simple Finance Technology, which provides a mobile application that enables users to manage their finances and track expenses, was acquired by Spain-based financial services provider BBVA for $117 million. The acquisition enables BBVA deeper to enter into the U.S. market and exposes Simple to international markets, notably Mexico and Latin America, where regulations have interfered with the startup’s growth.

Software

application management software

AppSlingr, which provides streaming of desktop applications from popular cloud storage providers including Box, Dropbox, Google Drive, and Microsoft OneDrive, was acquired by server-based gaming technology company OTOY. The acquisition brings new capabilities to OTOY, facilitating expanded cloud file storage options for both cloud-based and workstation-based instances of OTOY software in the near term, and enabling future innovations in cloud-based content creation technologies. Terms were not disclosed.

application management software

PhiSix Fashion Labs, which provides online apparel visualization software for fashion online retailers and consumers, was acquired by online auctions services provider eBay (Nasdaq:EBAY). The acquisition will allow eBay to integrate PhiSix’s technology, which enables consumers to understand the fit and movement of clothes in an online shopping environment. Terms were not disclosed.

data management software

MaintenanceNet, which provides warranty and maintenance contract management services and data-driven lead generation solutions, has raised an undisclosed amount of funding from Kayne Partners. The company intends on using the new capital to expand worldwide operations and ongoing technology development initiatives.

healthcare software

Optum, a unit of UnitedHealth (NYSE: UNH), has acquired a majority stake in Audax Health Solutions, a provider of benefit management information solutions. Terms were not disclosed.

infrastructure software

Allied Technology Group, which provides information technology, engineering services, program management, and training solutions, was acquired by technologies and solutions provider ManTech International(NasdaqGS:MANT). Terms were not disclosed.

security software

Cloud security company Apprity, has raised $8 million in Series A funding co-led by Norwest Venture Partners and Wing Ventures, with participation from individual investors. The new capital will be used for product development and expansion of the company’s industry partnerships. Apprity’s solutions enable enterprises to deploy Software-as-a-Service (SaaS) and Cloud application securely.

security software

Cyber security company Cylance, has raised $20 million in Series B funding led by Blackstone, Khosla Ventures, Fairhaven Capital, and a group of private investors. The new capital brings the company’s total funding to $35 million.

security software

Ionic Security, which provides a unified data and mobility security platform, has raised $25.5 million in funding co-led by Google Ventures and Jafco Ventures, with participation from the Webb Investment Network, Kleiner Perkins Caufield and Byers, and ff Venture Capital. The funding will be used to launch the company’s product later this year. The company has raised $36.9 million in funding to date.

security software

SaaS-based cybersecurity company ThreatStream, has raised $4 million in Series A funding led by Google Ventures, with participation from Paladin Capital Group and individual investors. The investment will be used to add a new layer of cybersecurity for enterprises and government customers.

software development tools

Coverity, which provides software development solutions enabling developers to analyze code and correct defects while writing code, was acquired by electronic design automation provider Synopsys (Nasdaq:SNPS) for $375 million, at a valuation of 4.7x revenue.

Information & Business Services

logistics

Hopu Funds and Bank of China Group Investment are part of a consortium that has agreed to invest $2.4 billion for a 34 percent stake in the mainland China business of Singapore’s Global Logistic Properties. The firms also will invest another $163 million for a stake in GLP’s Singapore-listed unit (SGX: MCO).

other

ad networks/exchanges

Yahoo (Nasdaq:YHOO) has introduced its new service Yahoo Gemini, which is an online marketplace for buying mobile search and native advertisements, which are ads that look similar to editorial content. The service is available through a broader self-service tool called Yahoo Ad Manager, which is used to buy online advertisements.

ecommerce

China-based Tendent Holdings (SEHK:700), is reportedly in talks to combine its eCommerce business with online retailer JD.com. With the acquisition Tencent will acquire a 6 percent stake in JD.com in exchange for merging its online shopping operations with JD.com.

About Petsky Prunier
Petsky Prunier is one of the leading investment banks in the technology, media, marketing, eCommerce, and healthcare industries. Our firm's mergers and acquisitions and private placements advisory services reflect a unique blend of product specialization and industry expertise. Together with strategic consulting firm Winterberry Group, a Petsky Prunier company, our organization represents one of the largest industry-specific advisors providing strategic and transactional services. In addition, we offer international reach through our partnership with investment bank Altium, which operates from nine offices across Europe. Securities transactions are processed through Petsky Prunier Securities LLC, a member of FINRA and an affiliated entity.

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