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Editorial Rating

8

Qualities

  • Analytical
  • Applicable
  • Overview

Recommendation

Mergers and acquistions in pursuit of digital technologies have ramped up considerably, as established companies would rather purchase enterprises with built-in expertise than develop the knowledge internally. But to achieve their goals, as professionals at the Boston Consulting Group explain in this authoritative report, dealmakers need to go beyond looking for cost savings and revenue efficiencies to unlock less evident and often intangible sources of value. Investment bankers and digital entrepreneurs will find this expert analysis particularly relevant and insightful.

Take-Aways

  • Deal volume for M&A in digital technologies grew by 100% from 2012 to 2017.
  • Companies increasingly find it more prudent to acquire rather than go through the arduous process of building digital technologies internally. 
  • Valuations are high, and to justify them dealmakers need to look for value enhancers that less sophisticated purchasers might overlook.

About the Authors

Jeremy Boote et al. are professionals with the Boston Consulting Group.


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