Siemer & Associates LLC Publishes Q3 Digital Media and Software M&A Activity Exit Report

November 16, 2011 (Los Angeles, CA) ─ Siemer & Associates LLC, the global merchant bank serving the digital media, software and technology industry, has completed its Q3 2011 Exit Report focusing on M&A deal trends and public company valuation metrics in the digital media and software industries. Across both sectors, the report found that aggregate transaction volume increased 9.1% from Q2 to Q3 2011. The average value per deal (as measured in median implied estimated value), on the other hand, rose only in the digital media sector over last quarter, while it fell in the case of software deals that transpired over the same period.

Consolidation has been driven predominantly by the preference to buy new technologies rather than build, as consumer demand for interconnectivity across platforms and greater functionality within platforms perpetuates. Another factor contributing to the uptick in deals which is expected to continue has been the desire for patents for technological advancement and legal protection, as evidenced by Google’s four digital media purchases this quarter, bringing its total acquisitions among all sectors for the year up to 21. Technologies that accumulate and analyze audience data will continue to be sought out as well, as advertising dollars increasingly move online.

“The tech sector has remained a bright spot in the M&A landscape, as other industry segments have experienced deal stagnation throughout 2011,” explained David Siemer, Managing Director of Siemer & Associates. “We expect headwinds to slow during the fourth quarter, though, as the European debt crisis continues to hold back activity on the continent.”

Click here to read the full report.

About Siemer & Associates LLC

Siemer & Associates LLC is a global boutique merchant bank dedicated to offering candid insight and guidance to digital media, software and Internet companies throughout their business life cycles. Composed of industry veterans who have worked both inside and out of technology enterprises, S&A has successfully completed more than 50 transactions that aggregated over $3 billion in sell-side mandates and surpassed $1.5 billion in equity capital.  Headquartered in Los Angeles with offices in New York and Hong Kong, S&A offers exceptional corporate capital raising, financial advisory services and M&A, specializing in complex cross-border transactions.

Committed to expanding the international technology ecosystem, Siemer & Associates promotes innovative entrepreneurs through its early-stage investment arm, Siemer Ventures. One of the most active investment funds in Southern California, Siemer Ventures claims more than 40 current portfolio companies and makes an average of 12 new investments each year in startups. Siemer Ventures bridges the funding gap between seed and Series A capital raises, helping emerging leaders overcome a critical hurdle to success necessary for the ongoing development of the global technology marketplace.