CompTIA: Where Are the IPOs, Mergers And Acquisitions?
CompTIA (the Computing Technology Industry Association) and its SoftwareCEO portal have issued a research report showing a substantial drop in high-tech mergers, acquisitions and IPOs. The stats didn’t surprise The VAR Guy. But the findings are a timely, interesting read nonetheless. When will the high-tech IPO market improve? The VAR Guy offers a guess — along with a look at three companies poised to test the IPO waters.
“The seventh annual report reveals that technology mergers and acquisitions (M&As) around the world dropped to $290 billion in 2008, down one-third from a year earlier. There were only six tech-related IPOs in 2008, down from 27 the year before.”
Channel Mergers Continue
Although CompTIA and SoftwareCEO note a drop in high-tech M&A activity, The VAR Guy’s sister site — MSPmentor — sees a feeding frenzy starting, as managed service providers begin to buy up one another. (See the MSPmentor M&A Tracker for details.)
Admittedly, those MSP deals typically involve small, privately held companies. Bigger acquisitions — where Oracle, Microsoft, IBM and Cisco scoop up rivals — have been slow to materialize.
Who’s Going Public, And When?
Looking ahead, The VAR Guy doesn’t expect IPO activity to accelerate until at least Q4 2010 — assuming financial markets stabilize by that time. So, which companies will test the IPO markets? Here are three prime possibilities — thought each fast-growing company could also be a prime target for takeover…
- SugarCRM: The open source customer CRM leader. CEO John Roberts hopes to make SugarCRM a leader in both hosted and on-premise CRM offerings that disrupt Microsoft and Salesforce.com.
- Digium: The open source IP PBX leader and Asterisk evangelist. Digium has one of the fastest-growing open source partner networks, according to The VAR Guy’s Open Source 50 report, and recently moved into a new headquarters.
- Alfresco: An open source alternative to Microsoft SharePoint. Full disclosure: The VAR Guy spends too much time reading a blog from Alfresco‘s Matt Asay.
Oops. Got to run. The VAR Guy’s broker is on the line. Time to see how much our resident blogger’s net worth has dropped this week…