Contact

TOP 5 selling VoIP companies


, ,
Integral service around a transaction
BY : Diego GutiérrezJanuary Thu, 2019

We classify the operations of sale of companies of the last few years in the field of VoIP. These carriers make it possible for the voice signal to travel over the Internet using the IP protocoli.e. sending the voice signal in digital form instead of sending it in analogue form. The classification will be determined by the sales amounts handled in each transaction.

vozIP logo

Top 5 VoIP Business Sales: An Analysis of the Evolving Market

1. Broadsoft

BroadSoft is a global provider of software that enables mobile, fixed-line and cable service providers to deliver real-time communications. through their IP networks. It was founded in 1998 in Maryland and went public in 2010 after raising more than $77 million.

They have more than 500 customers and serve 18 of the top 25 telecommunications operators in more than 70 countries and in 25 languages.

This company leads our corporate finance rankings for its sale to Cisco. On 23 October 2017, we learned the details of the deal, where Cisco wrote a large cheque for a value of 1.9 billion.

This purchase gave Cisco a new way to sell its communications tools, shifting its focus from a pure networking hardware company to one focused on software and services offered in the cloud.

2. ShoreTel

Founded in 1996 in Silicon Valley, ShoreTel is a company that is dedicated to the development and sale of IP communications systems for companies in the United States and internationally.

On 27 July 2017, the sale of the US company to another company in the same sector, Mitel, was confirmed. The 530 million spent on the purchase of the company have placed ShoreTel second in our ranking.

The combination of the two companies catapulted Mitel to the number two position in the Unified Communications as a Service (UCaaS). As for ShoreTel, it received a premium of 28 % over the closing share price on the day before the deal. In summary, Mitel paid USD 7.5 per share for a total value of USD 530 million.

"This is a very natural combination that allows us to continue to consolidate the industry and take advantage of cost synergy opportunities, while adding new technologies and significant cloud growth to our business," said Mitel CEO Rich McBee.

3. Jive Communications

In our bronze post we talk about Jive Communications (Utah, USA). Jive provides cloud-based telephone systems and unified communications services. Jive's cloud architecture offers an integrated experience that provides context and more efficient connections between colleagues and customers. The more than 20,000 customers around the world are well aware of this.

LogMeIn, a company that offers conferencing services such as GoToMeeting and join.me, as well as authentication services, announced on 8 February 2018 the acquisition of Jive. The deal was valued at 342 million15 million more depending on the achievement of specific milestones.

The agreement added a suite of unified communications services to complement and extend LogMeIn's existing collaboration products. Jive's main focus on VoIP and its growing involvement in the business world prompted LogMeIn to undertake this operation.

4. Broadview Networks

Broadview Networks provides voice and data communications and managed network solutions for SMEs in the northeastern United States. Its voice services include local, regional, national and international telephone services, as well as voicemail, caller ID, call waiting, VoIP services and many others.

On 13 April 2017, we learned of its sale to Windstream Holdings, in a 227.5 million cash transaction.

Broadview, based in Rye Brook, New York, is a leading provider of cloud-based unified communications solutions for small and medium-sized businesses.

"Broadview's unique unified communications solutions will advance our product portfolio, enhancing our competitiveness and ability to provide enhanced services to business customers. The transaction will also allow us to leverage Broadview's sales force expertise and cloud operations across our national footprint," said Tony Thomas, chief executive officer of Windstream.

5. FusionStorm

To finish off the list, we mention FusionStorm. The San Francisco-based company, formerly known as Synergistic Computer Solutions, offers solutions for systems infrastructure, storage, networking, VoIP, security, databases and more.

On 1 October 2018, the UK company Computacenter integrated its business with FusionStorm. The total amount of the purchase transaction was broken down as follows: USD 70 million as initial consideration45 million for refinancing facilities 20 million depending on the EBITDA and gross profit FusionStorm can achieve during the 15 months following the operation.

This complementary and incremental acquisition allows Computacenter to offer a full range of services in the US, increasing its workforce by approximately 50 %.

The M&A Professionals

Meet our services

CONTACT US

MEET
OUR
METODOLOGY

Do you want to be up to date?

SUSCRIBE OUR NEWSLETTER

Our diferentiation

Market Research Technology
Our team of market analysis specialists is continuously analyzing the investments of the most active markets in the industry in order to unceasingly contribute ideas of the current market situation and identify the most relevant trends for senior management. We integrate the most relevant sources of information which allows us to discover the most interesting companies for venture capital and similarly helps us to identify the investors with the highest probability of involvement in an M&A process to ensure the success of our sell-side operations.

The reports and deductions of our advisors provide a broad view of the sector, both geographically and from the complementary or adjacent markets perspective.
Technology Data Analytics
for M&A
Advanced data anlytics is a weapon". Intelfin is an artificial intelligence tool we use for investing and creating value in SMEs through competitive analytics and the enterprise environment.

IntelFin consists of a cognitive system, which, through the application of advanced analytical technologies, facilitates the automation of investment and financing decisions in the field of non-listed companies and especially SMEs in high-growth sectors.

The information related to these companies is characterized by their lack of transparency and heterogeneity; thus, it is necessary to develop an advanced analysis which is as much predictive as prescriptive and is developed in a natural language custom, suitable to obtain greater clarity and knowledge of the investment scope.

The IntelFin system focuses especially on analyzing the variables that define and influence the competitive environment of a sector and the positioning of a company, analyzing their influence on future value creation. Therefore, IntelFin supports strategic decision-making to senior management by resolving questions such as:

¿What are my competitors' priorities, strategies and expansion plans? Who's my competition? Which competitor is most likely to grow at a higher rate?
Which areas of activity/business models will receive the most investment? Which sectors are most attractive to investors?
Which companies are going to experience the most growth in the near future? Which companies are most likely to receive investment or be acquired?
Training Methodology
We have developed training programs in an innovative set-up which guarantees our teams the acquisition of technical competences both in the field of corporate finance and in the field of psychology, that is much needed when it comes to negotiation processes.

We have a culture of continuous improvement of our processes, closely related to the use of information systems that allow the enhancement of internal communication between our teams, as well as external communication with our customers. Hence, we extend best practices identified internally in an efficient and rapid manner among our members.

Are you one of those who prefer to be well informed when making decisions?

M&A NEWS
INDUSTRIAL REPORTS
crossmenu