NEW YORK, Aug. 15, 2023 (GLOBE NEWSWIRE) -- FE International, Inc., the global market leader in mid-market technology mergers and acquisitions (M&A), today released its 2023 Digital Media Mid-Year Report, focusing on the industry’s rapidly changing landscape, increase of digital media M&A volume, near record-levels of Private Equity (PE) Dry Powder, and the stabilization of Digital Media M&A multiples. The report also summarizes the current state of economic ramifications and provides an economic outlook heading into 2024.
Focusing on AdTech, EdTech and Digital Agencies, FE International shares an assessment that the market is recovering well, with transaction volumes increasing 10% during Q1 2023 compared to Q4 2022. The value of completed deals has increased year on year with a projected 22% increase in the value of deals taken to market, the report finds.
Additional insights include:
- With global PE Dry Powder surging to a record-breaking $4 trillion, slowing ad rates in the online advertising market show there are still challenges for AdTech.
- EdTech’s pandemic-era boom and beyond shows no signs of slowing down as capital raised to be deployed has reached an all-time high.
- Digital Agency M&A has seen one of the biggest surges of interest across all FE International business models, as the global market for Digital Advertising and Marketing is projected to grow from $530 billion to $1.5 trillion in 2030. Digital agencies are also one of the few industries least affected by the potential impact of AI, as business is driven largely by reputation.
"In the ever-evolving landscape of digital media M&A, and despite economic uncertainties, we continue to witness a thriving market, with ed-tech and digital agencies emerging as the trailblazers,” said Thomas Smale, CEO of FE International. “These sectors have proven to be resilient and promising, capturing the attention of savvy investors seeking growth opportunities in the digital realm."
FE International, a leader in mid-market M&A spanning digital media and other industries, delves into the state of public market performance in the new report, including the impact of rising rates and acquirers taking a more cautious approach to taking on debt to fund M&A transactions. The mid-year 2023 assessment of the digital media further reveals that inflation has proven more pliant and fallen faster than many anticipated as the labor market holds strong with U.S. unemployment hovering near historic lows.
The 2023 Digital Media Mid-Year Report is now available for download: click here.
About FE International:
Founded in 2010, FE is known for its extensive network of pre-qualified international investors. Its team includes experts in exit planning, valuation, accounting, legal and more. FE serves clients worldwide with headquarters in New York and regional offices in Miami, San Francisco and London. It was named one of The Americas' Fastest Growing Companies in 2023, 2022, 2021 and 2020 by The Financial Times and is also a four-time Inc. 5000 company. For more information, visit www.feinternational.com
Media Contact:
KCSA Strategic Communications
Kaitie Cothron / Michael Ganci
FEI@kcsa.com
