MERGERS AND ACQUISITIONS:

2017 REPORT

TOP 100

Copyright © After Nines Inc. and ChannelE2E, 2017

™

Welcome and M&A Market Forecast

Welcome to the ChannelE2E Top 100 Mergers and Acquisitions. In this 2017 report, we track the key M&A deals involving VARs, MSPs, CSPs and other types of IT service providers across the globe. Look closely and you’ll notice that this report actually recaps 124 of those deals.

But first, the big picture: 3,021 mergers involving technology, media and telecom (TMT) companies occurred in 2016 — a big number, but down 5.7 percent from a record 3,203 deals in 2015, according to Mergermarket‘s Global M&A report for the year.

M&A Market ForecastChannelE2E expects M&A deals involving VARs, MSPs and CSPs to accelerate from now through about 2022. Overall, roughly 250,000 private businesses in the United States change hands each year, according to Business Renewal Solutions (BRS). But as the Baby Boomer generation approaches retirement age, this number will more than double to more than 500,000 businesses per year, BRS asserts. In total, more than 7.7 million business owners will be looking to exit their businesses over the next 10-15 years. Some estimate that these businesses represent over $10 trillion in wealth, the researcher adds.

Source: Mergermarket

Source: Business Renewal Solutions

Technology, Media & Telecom Mergers

Total U.S. Private Businesses Sold

2016

2015

3021

3203

2000 2005 2010 2015 2020 2025 2030

Year

Num

ber o

f Com

pani

es S

old

600,000

500,000

400,000

300,000

200,000

100,000

www.ChannelE2E.com • ©2017

IT Channel Buyers and Sellers /Valuations

IT Channel Buyers and SellersWithin the IT services sector, buyers and sellers come from multiple backgrounds. Private equity firms were particularly active buyers in 2016. MSPs and office equipment specialists were also quite active on the M&A front. We expect that type of cross-pollination to continue as multiple markets (cloud, MSP, IT and office equipment) converge.

ValuationsOverall, channel partner valuations could potentially slip a bit because so many sellers are seeking buyers at this stage of the game. Still, valuations have held relatively steady over the past few years, according to Service Leadership Inc. The typical product-led reseller is worth 10 cents per dollar of revenue. In contrast, the typical MSP valuation is 5 to 7 times annual EBITDA (earnings before interest, taxes, depreciation and amortization). Some MSPs and CSPs fetch even higher valuations — in the 11 times annual EBITDA neighborhood for companies that have their own intellectual property.

IT Channel Buyers In 2016

MSP/CSP: 21%

Private Equity: 19%

Other: 44%

Global Systems Integrator:

7%

IT Service/ Solutions Provider: 9%

IT Channel Sellers In 2016

MSP/CSP: 21%

Other: 50%

Data Centers: 4%

IT Service/ Solutions Provider: 9%

Office 365/Azure Specialist: 7%

Security Specialist: 9%

www.ChannelE2E.com • ©2017

Source: ChannelE2E Source: ChannelE2E

Top 100 Mergers and Acquisitions: 2017 Report

DEAL NO. BUYER/WEB SPECIALTY ACQUIRED SPECIALTY DETAILS

1 Accelerated Connections Inc.http://www.connections.ca/

Colocation, network & voice solutions

OneConnect Services Inc.

Voice, network, collaboration, cloud

Accelerated Connections Inc. (ACI) acquired OneConnect Services Inc. and Canopco to push deeper into telecom, cloud, managed and hospitality IT services. The moves essentially double ACI’s revenue (though actual figures weren’t disclosed) and diversify the company’s services across Canada.

2 Accelerated Connections Inc.http://www.connections.ca/

Colocation, network & voice solutions Canopco Voice, network,

collaboration, cloud

Accelerated Connections Inc. (ACI) acquired OneConnect Services Inc. and Canopco to push deeper into telecom, cloud, managed and hospitality IT services. The moves essentially double ACI’s revenue (though actual figures weren’t disclosed) and diversify the company’s services across Canada.

3 Accenturehttp://www.accenture

Global Systems Integrator Arismore IAM

Arismore specializes in identity and access management (IAM) security services, as well as enterprise architecture and change management services.

4 Accenturehttp://www.accenture

Global Systems Integrator DayNine Workday, SaaS

DayNine is a cloud consulting firm focused on Workday SaaS deployments. Accenture gained 400 DayNine professionals with 1,250 Workday certifications.

5 Aldridgehttp://aldridge.com/ MSP, CSP Arterian Office 365, Azure The deal set in motion two major moves — a Seattle-area IT services push

along with a Microsoft-centric Cloud Solution Provider initiative.

6 Aldridgehttp://aldridge.com/ MSP, CSP PacketDrivers MSP The deal set in motion two major moves — a Seattle-area IT services push

along with a Microsoft-centric Cloud Solution Provider initiative.

7 Apollo Global Managementhttp://www.agm.com/ Private Equity Rackspace MSP, CSP The $4.3 billion deal took Rackspace private to focus on Azure, AWS

managed services.

8 Atoshttps://atos.net/en/

Global Systems Integrator Engage ESM ServiceNow Engage ESM is a ServiceNow Gold Services Partner that also works with

Cisco, Moogsoft and HP. Most of Engage ESM’s employees are in the UK.

9 Atoshttps://atos.net/en/

Global Systems Integrator

Anthelio Healthcare Solutions Healthcare IT The $275 million deal’s valuation was 8.5 times expected EBITDA for fiscal

2017, which outpaces the typical IT services provider M&A valuation.

10 Avalon Document Serviceshttp://www.teamavalon.com/ eDiscovery Digits Security Actually a merger. Avalon specializes in eDiscovery and managed services

for law firms. Digits provides digital forensics and cyber security services.

11 Avasthttp://www.avast.com Security AVG Security

The Avast buyout of AVG, valued at $1.3 billion, focuses heavily on security solutions. AVG’s Managed Workplace offering, in contrast, is consumed by MSPs for end-customer systems management.

www.ChannelE2E.com • ©2017

DEAL NO. BUYER/WEB SPECIALTY ACQUIRED SPECIALTY DETAILS

12 Avnethttp://www.avnet.com Distribution Hackster Internet of Things Hackster is an online community that helps users learn how to design,

create and program Internet-connected hardware.

13 Barracuda Networkshttp://www.barracuda.com Security, Backup Sookasa Security Sookasa will accelerate Barracuda’s roadmap in SaaS security, including

Office 365 and Secure Web Gateway initiatives.

14 BC Partnershttp://www.bcpartners.com/ Private Equity CenturyLink Data

Centers Data Centers The $2.15 billion deal allows CenturyLink to refocus on network services rather than competing with AWS and Microsoft Azure.

15 Berkshire Partnershttp://www.berkshirepartners.com/ Private Equity Masergy MSP Masergy claims to be the world’s largest independent MSP.

16 BlueLine Associateshttp://www.blueline-associates.com/ MSP BSI (technology division) MSP The deal includes a staffing solutions service line for Fortune 500,

midmarket and emerging companies, and managed IT services.

17 Bulletproofhttp://www.bulletproof.net.au/ CSP CloudHouse CSP CloudHouse was Amazon’s largest AWS Advanced Consulting Partner in

New Zealand.

18 Cal Net Technology Grouphttp://www.calnettech.com/ MSP inhouseIT MSP The deal created one of southern California’s largest managed IT services

providers.

19 Carouselhttp://www.carouselindustries.com/ TSP Atrion MSP Carousel, after the Atrion buyout, has roughly 1,300 employees and $525

million in revenue.

20 CenturyLinkhttp://www.centurylink.com Telecom Level 3 Communications Network The $19 billion+ deal, which awaits regulatory approval as of this writing,

pushes CenturyLink deeper into network services.

21 CenturyLinkhttp://www.centurylink.com Telecom netAura Security, Gov’t

netAura is a government-focused IT services firm focused on security information and event management (SIEM), analytics and vulnerability management.

22 Champion Solutions Grouphttp://www.championsg.com/ IBM MSSI IBM MSSI specializes in IBM i and Power solutions and services. Champion has

pushed into virtualization, cloud and data management solutions.

23 Cisco Systemshttp://www.cisco.com IT Giant Jasper Technologies Internet of Things

The $1.4 billion deal will potentially empower businesses and MSPs with a cloud-based IoT platform that can connect to any type of device, and then manage that device over cellular networks.

24 Citrix Systemshttp://www.citrix.com Software Comtrade Software

The acquisition of certain Comtrade tools could empower Citrix and Microsoft partners to offer end-to-end monitoring across Citrix desktop virtualization, network and mobility environments.

25 Claranethttp://www.claranet.co.uk/ MSP Bashton CSP Bashton is a UK-based Amazon Web Services (AWS) cloud specialist with

DevOps skills.

Top 100 Mergers and Acquisitions: 2017 Report

www.ChannelE2E.com • ©2017

DEAL NO. BUYER/WEB SPECIALTY ACQUIRED SPECIALTY DETAILS

26 Cognizant Technology Solutionshttp://www.cognizant.com IT Outsourcing Frontica Business

Solutions IT OutsourcingAcquired for $128 million, Frontica, based in Norway, specializes in IT outsourcing and Business Process Outsourcing within the oil and gas industry.

27 Columbus Globalhttp://www.columbusglobal.com/ ERP, CRM Cambridge Online

Systems Dynamics 365Cambridge Online Systems is a Microsoft Dynamics 365 channel partner based in the United Kingdom. Columbus has made at least six acquisitions since early 2015.

28 Connectionhttp://www.pcconnection.com/ IT Services GlobalServe IT Services

GlobalServe is an IT procurement and service management company. The deal empowers Connection and its partners with IT asset management capabilities worldwide.

29 Consolidated Communicationshttps://www.consolidated.com/ Network FairPoint Network

The $1.5 billion deal extends Consolidated’s fiber coverage to 35,100 miles across 24 U.S. states. The combined companies also boast data center, managed and wireless services.

30 Contegixhttp://www.contegix.com/ MSP, CSP Admo.net MSP, CSP Admo.net Web Services is a Kansas City-based cloud and managed

services provider that has two data centers.

31 CSChttp://www.csc.com

Global Systems Integrator

HP Enterprise IT Ser-vices

Global Systems Integrator

HP Enterprise is spinning off its IT services business, which will merge with CSC under a new company name.

32 CTComphttp://www.ctcomp.com/ IT Services CASE Partners Salesforce

The business combination creates an IT service provider equipped to offer network, hybrid cloud, Salesforce.com and application development expertise.

33 CTECH Consulting Grouphttps://www.ctechgroup.ca/ IT Services BackupPlan Backup

CTECH supports customers in Calgary, Canada, BackupPlan offers services to “eliminate any business outage” — with a particular focus on full backup audits, business continuity planning, system monitoring and recovering testing.

34 Datavailhttps://www.datavail.com/ Oracle Art of BI Oracle Datavail claims to be North America’s largest database MSP. Art of BI

offers Oracle analytics consulting.

35 Dellhttp://www.dell.com IT Giant EMC IT Giant The $67 billion deal pits Dell against IBM, Cisco, HP Enterprise and Oracle.

The bonus? Dell essentially controls VMware.

36 Deloittehttps://www2.deloitte.com/us/en.html

Global Systems Integrator Integrity-Paahi Solutions MSSP Integrity-Paahi Solutions (IPS) is a managed security service provider

(MSSP) in Vancouver, Canada.

37 Digital Realty Trusthttps://www.digitalrealty.com/ Data Centers Eight Data Centers Data Centers

Digital Realty Trust acquired eight carrier-neutral data centers in Europe from Equinix. The deal was valued at $874 million, or a multiple of approxi-mately 13 times 2016 EBITDA.

Top 100 Mergers and Acquisitions: 2017 Report

www.ChannelE2E.com • ©2017

DEAL NO. BUYER/WEB SPECIALTY ACQUIRED SPECIALTY DETAILS

38Dimension Datahttp://www2.dimensiondata.com/en-us

Global Systems Integrator Ceryx Office 365 Ceryx was a privately held provider of services for integrating and

managing Microsoft Office 365 and hybrid email environments.

39 eFolderhttp://www.efolder.net Backup Replibit Backup Replibit offers image-based backup and disaster recovery (BDR) solutions

designed for MSPs.

40 Ensonohttps://www.ensono.com/ IT Services Attenda MSP Attenda specializes in running mission-critical applications across financial

services, media, business services, retail and other vertical markets.

41 Epiq Systemshttp://www.epiqsystems.com/ eDiscovery DTI eDisovery

The $1 billion merger, funded by OMERS Private Equity and Harvest Partners LP, involves eDiscovery for the legal vertical, while offering a blend of managed services and legal process outsourcing (LPO).

42ePlushttp://www.eplus.com/Pages/default.aspx

IT Services Consolidated IT Services IT ServicesConsolidated IT Services provides data center, unified communications, networking, and security solutions to domestic and international custom-ers in the upper Midwest.

43 Equinixhttp://www.equinix.com Data Centers Verizon Cloud Data

Centers Data Centers The $3.6 billion deal armed Equinix with 29 data centers across 24 sites. Verizon, meanwhile, largely retreated to network services.

44 ESWhttp://eswilliams.com/ IT Services ITnorth IT Services

E.S. Williams & Associates Inc. (ESW) and ITnorth merged to focus more aggressively on Western Canada. Key locations include Victoria, Grande Prairie, Fort St. John, Edmonton, and Calgary.

45 Evolve IPhttp://www.evolveip.net/ CSP Xtium Inc. CSP Xtium, a CSP in Pennsylvania, provides Disaster Recovery, Desktop as a

Service (DaaS), managed cloud hosting and managed online backup.

46 Evroshttp://www.evros.ie/ MSP Inspired Software and

Services Office 365, Azure Inspired SS offers Microsoft Azure technologies, Office 365 and SharePoint services to clients.

47 F12.nethttps://f12.net/ MSP Xcel Professional /

Services MSPThe two Canadian MSPs merged to accelerate their businesses. Xcel founder Colin Knox now runs Passportal, an MSP-focused password management company.

48 Francisco Partners, Elliot Managementhttps://www.franciscopartners.com/ Private Equity SonicWall Security

Dell sold off SonicWall to strengthen its balance sheet amid the EMC acquisition. Now independent, SonicWall has returned to a pure channel partner strategy.

49 Franklin Datahttp://www.franklindata.com eDiscovery Scarab Consulting eDisovery

Franklin Data, launched in 2000, provides the technology that helps business and legal customers respond to discovery demands, incident response and cyber security threats.

Top 100 Mergers and Acquisitions: 2017 Report

www.ChannelE2E.com • ©2017

DEAL NO. BUYER/WEB SPECIALTY ACQUIRED SPECIALTY DETAILS

50 Fusionhttp://www.fusionconnect.com/ CSP Apptix MSP The $28 million deal created a single company with SaaS, collaboration,

unified communications and virtual desktop expertise.

51 GE Digitalhttp://www.ge.com/digital/ Digital ServiceMax Internet of Things

The $915 million deal, in theory, will connect the dots between field service management, the Internet of Things (IoT), predictive analytics, hardware maintenance and repair, and more.

52 GoDaddyhttp://www.godaddy.com CSP Host Europe Group CSP The $1.79 billion deal expands GoDaddy’s push into small business hosting

across the globe.The deal is valued at roughly 11 times EBITDA.

53 GoDaddyhttp://www.godaddy.com CSP FreedomVoice Cloud PBX

FreedomVoice provides cloud-based VoIP phone systems that serve nearly 40,000 customers across the United States. GoDaddy paid $42 million in cash plus up to $5 million in potential future milestones.

54 Great Hill Partnershttp://www.greathillpartners.com/ Private Equity Evolve IP CSP The private equity backing has allowed Evolve IP to more aggressively

acquire MSPs and CSPs.

55 GTThttps://www.gtt.net/ Network Telnes MSP The $18 million deal involves high-availability managed network services

and cloud communications.

56 HelloTechhttps://www.hellotech.com/ IT Services Geekatoo IT Services HelloTech and Geekatoo merged in a bid to essentialy counter Best Buy’s

Geek Squad business.

57 HIG Capitalhttp://www.higcapital.com/ Private Equity CXtec Network

H.I.G. Capital acquired CXtec and TERACAI Corp. — two sister business-es based in Syracuse, New York. CXtec provides refurbished networking equipment, telephony hardware and data center cabling products. TERACAI is a Cisco Premier Partner.

58 HIG Capitalhttp://www.higcapital.com/ Private Equity Teracai Corp. Network

H.I.G. Capital acquired CXtec and TERACAI Corp. — two sister business-es based in Syracuse, New York. CXtec provides refurbished networking equipment, telephony hardware and data center cabling products. TERACAI is a Cisco Premier Partner.

59 HostedBizzhttp://hostedbizz.com/ CSP ITUtility.net CSP The deal united two Canadian CSPs that host Veeam and Microsoft

solutions for channel partners.

60 Huron Capital Partners, RLG Capitalhttp://www.huroncapital.com/ Private Equity InterVision Integrator InterVision Systems, a technology integrator founded in 1993, received

private equity funding from Huron Capital Partners and RLG Capital.

61 IBMhttp://www.ibm.com IT Giant Bluewolf Group Salesforce IBM opened its wallet twice within only a few short weeks to acquire

Salesforce.com and Microsoft Dynamics cloud consulting expertise.

Top 100 Mergers and Acquisitions: 2017 Report

www.ChannelE2E.com • ©2017

DEAL NO. BUYER/WEB SPECIALTY ACQUIRED SPECIALTY DETAILS

62 IBMhttp://www.ibm.com IT Giant Optevia Dynamics 365 IBM opened its wallet twice within only a few short weeks to acquire

Salesforce.com and Microsoft Dynamics cloud consulting expertise.

63 Ingram Microhttp://www.ingrammicro.com Distributor Ensim Software

Ensim’s “end-to-end” cloud platform offers modules that allow channel partners and service providers to set up marketplaces, storefronts, sub-scription management and more.

64 Information Services Group (ISG)http://www.isg-one.com/ Research Alsbridge Research

Alsbridge promotes IT vendor management and digital business transfor-mation services. The combined company has 1,300 research and advisory professionals.

65 ITelagenhttp://www.itelagen.com/ Healthcare IT Planet Logic Healthcare IT

ITelagan provides hosted EHR (electronic health records) solutions for physicians and medical practices. Planet Logic offers healthcare-centric hosting and cloud services.

66 KKRhttp://www.kkr.com/ Private Equity Optiv Security Security

Optiv is one of the largest security-centric IT service providers. Financial terms weren’t disclosed, but ChannelE2E heard the deal was worth roughly $1.9 billion.

67 Konica Minoltahttp://konicaminolta.us/ Office Equipment Mobotix Security Konica acquired a majority stake in Mobotix, which specializes in video

surveillance and IT security services.

68 LeaseWeb USAhttps://www.leaseweb.com/ Data Centers Nobis Technology Group Data Centers LeaseWeb USA acquired Nobis and its Ubiquity Hosting brand — including

seven data centers featuring dedicated and cloud services across the U.S.

69 Lightower Fiber Networkshttp://www.lightower.com/ Network Datacenter101 Data Centers

Datacenter101 is a Columbus, Ohio-based data center and colocation provider. The deal expands Lightower’s reach across Ohio, where the company has metro fiber networks in Akron, Cincinnati, Cleveland, Dayton and Toledo.

70 Lofflerhttp://www.loffler.com/ Office Equipment Copier Business Solu-

tions Office Equipment The deal united two Minnesota-based office equipment resellers that have moved aggressively into voice, IT, workflow and managed print services.

71 Logicalishttp://www.logicalis.com MSP Lantares Analytics Logicalis, a global MSP, acquired Lantares, a Spanish company that spe-

cializes in analytics and business solutions.

72 LogicNowhttp://www.SolarWindsMSP.com Software iScan Software

iScan is a security company that can connect the dots between MSPs, risk assessments and data-driven security decisions. SolarWinds acquired LogicNow later in the year.

73 M/C Partnershttp://www.mcpartners.com/ Private Equity Thrive Networks MSP M/C Partners acquired both Thrive Networks and Corporate IT Solutions

to create one of the largest MSPs in the northeastern United States.

Top 100 Mergers and Acquisitions: 2017 Report

www.ChannelE2E.com • ©2017

DEAL NO. BUYER/WEB SPECIALTY ACQUIRED SPECIALTY DETAILS

74 M/C Partnershttp://www.mcpartners.com/ Private Equity Corporate Solutions MSP M/C Partners acquired both Thrive Networks and Corporate IT Solutions

to create one of the largest MSPs in the northeastern United States.

75 Madison Dearborn Partnershttp://www.mdcp.com/ Private Equity Intermedia CSP Intermedia has expanded beyond hosted Exchange to offer 30 various

cloud services to channel partners and MSPs.

76 Marcohttp://www.marconet.com/ Office Equipment Infinity Technology MSP Marco has acquired 15 companies in the past three years, including

multiple deals that involved Wisconsin-based IT service providers.

77 Micro Strategieshttp://www.microstrat.com/ IT Solutions Provider New England Systems IBM NES is a Premier IBM Business Partner that specializes in big data,

business analytics and information management solutions.

78 MicroFocushttp://www.microfocus.com Software Selected HPE Software

Assets Software MicroFocus acquired various HP Enterprise software assets, and HPE also invested money in the deal.

79 Microsofthttp://www.microsoft.com IT Giant LinkedIn Social Network The $26.2 billion deal should trigger integrations between Microsoft Office

365, Dynamics 365 and LinkedIn.

80 MNJ Technologieshttps://www.mnjtech.com/ Network Equivoice MSP Equivoice earned Cisco’s Cloud and Managed Service Provider designa-

tion. The deal blends technology reselling with a high-end service provider.

81 Netsurionhttp://www.netsurion.com/ Security EventTracker Security

This deal essentially combined two managed security service providers (MSSPs). Providence Equity Partners, a PE firm, purchased a stake in the combined company.

82OneSourcehttps://www.onesourcetechnology.com/

MSP ICT Technical Services MSP OneSource, an MSP serving businesses in Kansas and Oklahoma, acquired ICT Technical Services, a Wichita-based MSP.

83 OpenTexthttp://www.opentext.com/

Enterprise Content Management Documentum Enterprise Content

ManagementDell sold Documentum for $1.62 billion after acquiring the company as part of the EMC buyout.

84 Oraclehttp://www.oracle.com IT Giant NetSuite ERP

Oracle acquired NetSuite for $9 billion-plus as part of its push to become a top-two SaaS provider. NetSuite offers cloud-based ERP and PSA software.

85 Pamlico Capitalhttp://www.pamlicocapital.com/ Private Equity 10th Magnitude Azure Pamlico invested an undisclosed sum in 10th Magnitude, a Microsoft Azure

consulting firm and MSP that generated $4.4 million in revenue in 2015.

86Panasonic Enterprise Solutions Com-pany (PESCO)http://business.panasonic.com/solu-tions-avsolutions

Audio Video Pro Media Audio VideoPro Media has managed audio-visual IT deployments in Dodger Stadium, AT&T Stadium (Dallas Cowboys), Lambeau Field (Green Bay Packers) and more.

Top 100 Mergers and Acquisitions: 2017 Report

www.ChannelE2E.com • ©2017

DEAL NO. BUYER/WEB SPECIALTY ACQUIRED SPECIALTY DETAILS

87 Parallaxhttp://www.parallaxcap.com/ Private Equity ERwin Software ERwin, formerly a CA Technologies business, is a data modeling and big

data software specialist.

88 PCMhttp://www.pcm.com/ IT Solutions Provider Stratiform Office 365, Azure

PCM, one of North America’s largest IT solutions providers, acquired Stratiform for the company’s Azure, Office 365 and enterprise mobility expertise.

89 Presidiohttp://www.presidio.com IT Solutions Provider Netech Network

Presidio acquired Netech, a $300 million Cisco partner, to strengthen its footprint in the midwestern United States. Netech had 430 employees and nearly 200 engineers.

90 QRX Technologyhttp://www.qrxtech.com/ Office Equipment Kerr Norton Office Equipment

The combined Canadian companies focus on IT equipment, supplies and managed print services (MPS). Kerr launched more than 75 years ago making typewriter ribbons.

91 Repro Productshttp://reproproducts.com/ Office Equipment 4ColorLaser Office Equipment The deal strengthened Repro’s reach across the Atlanta metropolitan area.

Both companies are Xerox partners.

92SapientNitrohttp://www.sapientnitro.com/en-us.html#home

Digital Consultancy Razorfish Digital Consultancy Two classic brands from the dot-com era — Sapient and RazorFish — finally unite.

93 Savviahttp://savvia.com/ MSP CompuVision MSP Technically, this was a merger of two Canadian MSPs. Savvia had 20

employees; CompuVision had 100.

94 ScanSourcehttp://www.scansource.com Distributor Intelisys Distributor

The deal united ScanSource’s strong history in the VAR channel with Intelisys’s strong reputation with telecom agents and cloud services partners. The deal’s total potential value is $233.6 million, pending earn-out payments.

95 Simpatico Systemshttp://www.simpat.co/ MSP Adage IT MSP Simpatico offers IT services across Texas and several other states, while

Adage IT focuses on Southern California.

96 Siris Capital Grouphttp://www.siriscapital.com/ Private Equity Polycom Video Conferencing The $2 billion deal seeks to revitalize Polycom’s video conferencing

business, which is under attack from cloud and on-demand services.

97 Sirius Computer Solutionshttp://www.siriuscom.com/ IT Solutions Provider Continuum Worldwide

Corp. SecurityContinuum Security Solutions (not to be confused with Continuum Managed Services) specializes in compliance, assesments, digital forensics and security incident response services.

98 Skyview Capitalhttp://www.skyviewcapital.com/ Private Equity Digital Fuel SV Software VMware sold its vRealize Business Enterprise and IT Benchmarking tools

to the PE firm. Skyview rebranded the assets as Digital Fuel SV.

Top 100 Mergers and Acquisitions: 2017 Report

www.ChannelE2E.com • ©2017

DEAL NO. BUYER/WEB SPECIALTY ACQUIRED SPECIALTY DETAILS

99 SoftBankhttp://www.softbank.com Venture Capital ARM Holdings Hardware Softbank acquired the ARM-focused chip specialist for $32 billion.

The big push: Processors for mobile, server, data center and IoT devices.

100 SolarWindshttp://www.solarwinds.com Software LogicNow Software

SolarWinds acquired LogicNow and merged it with its N-able software business. The result was SolarWinds MSP — a new business division focused entirely on MSP software tools.

101 Special Counselhttp://www.specialcounsel.com/ eDiscovery D4 eDiscovery

Special Counsel, a provider of legal staffing and eDiscovery solutions, acquired D4 — which specializes in eDiscovery managed services, computer forensics and more.

102 StorageCrafthttp://www.storagecraft.com Backup Gillware Online Backup Backup StorageCraft acquired Gillware mainly for the company’s data analytics

capabilities.

103 Symantechttp://www.symantec.com Security LifeLock Security The $2.3 billion deal extended Symantec into the consumer identity

protection market.

104 Symantechttp://www.symantec.com Security Blue Coat Security

Symantec was the buyer, but Blue Coat’s CEO ultimately became CEO of the combined company — which is striving to revitalize relationships with VARs.

105 Synoptekhttp://www.synoptek.com MSP EarthLink IT Services MSP

The $29 million deal reinforced Syoptek’s continued growth — and the power of private equity ownership. EarthLink’s remaining businesses, meanwhile, ultimately were acquired later in the year.

106 TA Associateshttps://www.ta.com/ Private Equity StorageCraft Backup

The $187 million deal set the stage for a major StorageCraft overhaul — including a new CEO and channel leadership, many of whom previously held top posts at SonicWall.

107 TDC Erhvervhttps://erhverv.tdc.dk/ Telecom Adactic Office 365 TDC is a telecom provider with hosting and cloud expertise. Adactic was a

Danish cloud services firm that promoted Office 365 services.

108 Tech Datahttp://www.techdata.com Distributor Avnet Technology

Solutions DistributorThe $2.6 billion deal should give Tech Data deeper enterprise IT vendor relationships and more extensive global reach. The deal, unveiled in September 2016, is expected to be finalized in early 2017.

109 Telerent Leasing Corp.http://www.telehealth.com/ Healthcare IT Digital Networks Group

(DNG) Audio Video Telerent, better known as TeleHealth Services, acquired Digital Networks to further boost its audio-visual integration capabilities.

110 Texas Data Solutionshttps://www.texasdatasolutions.com/ MSP Advanced EC MSP The combined companies promote strategic IT consulting, medical IT

solutions and legal IT services to clientele across Texas.

Top 100 Mergers and Acquisitions: 2017 Report

www.ChannelE2E.com • ©2017

DEAL NO. BUYER/WEB SPECIALTY ACQUIRED SPECIALTY DETAILS

111Tianjin Tianhaihttp://www.reuters.com/finance/stocks/overview?symbol=600751.SS

Investment Co. Ingram Micro DistributorThe $6 billion deal, completed in December 2016, united Ingram with a global logistics giant. Ingram is now privately held and executives have said it’s “business as usual” at the distribution giant.

112 TPG Capitalhttp://www.tpg.com/ Private Equity Intel Security (McAfee) Security

After months of debate, Intel essentially sold its McAfee security business at a $4.2 billion billion valuation to TPG. However, Intel will retain a stake in the resulting company.

113 TriCore Solutionshttp://www.tricoresolutions.com/ MSP Database Specialists Oracle

Database Specialists is an MSP focused on Oracle database customers. More than 90 percent of the company’s sales involve monthly recurring revenue (MRR).

114 TriCore Solutionshttp://www.tricoresolutions.com/ MSP G3G SAP

TriCore has acquired multiple SAP and Oracle consulting firms over the years. The G3G deal emphasizes SAP solutions across the United States and the UK.

115 TSYShttp://tsys.com/ MSP TSTS Managed Services

EMEA MSPThe deal essentially gave TSYS complete control of the MSP. TSTS previously was jointly owned with The Merchants Group Ltd., a Dimension Data company.

116 TUChttp://www.careworx.com/ Healthcare IT CareWorx Healthcare IT

The combined company, now called CareWorx, focuses on service desk and managed IT services for senior care facilities. CEO Mark Scott pio-neered N-able during its early years.

117 Unitas Globalhttp://www.unitasglobal.com/ CSP AOS Cloud CSP AOS Cloud enhanced Unitas Global’s engineering teams, and extended the

company’s channel reach throughout the midwestern United States.

118 United Internethttps://www.united-internet.de/ CSP Strato AG CSP

United Internet claims to be Europe’s “Number One Internet Specialist” and has 8,000 employees. Strato is a Berlin-based hosting provider. The deal’s valuation: a generous 12.4 times EBITDA.

119 Venture Technologieshttp://www.ventech.com/ TSP WhiteLight Group ERP, IoT

The WhiteLight acquisition pushed Venture Technologies deeper into the ERP and IoT markets. Founded in 1986, Venture Technologies had about 260 employees as of mid-2016.

120 Vital Network Solutionshttp://www.vital-ns.co.uk/ IT Services Octari Azure Vital, based in Yorkshire, England, acquired rival Octari for its Microsoft

Azure cloud platform expertise.

121 VMwarehttp://www.vmware.com Software PlumGRID Network

VMware essentially acquired technology and talent from PlumGRID, which specialized in software-defined networking (SDN) for OpenStack and containers.

Top 100 Mergers and Acquisitions: 2017 Report

www.ChannelE2E.com • ©2017

DEAL NO. BUYER/WEB SPECIALTY ACQUIRED SPECIALTY DETAILS

122 VMwarehttp://www.vmware.com Software Arkin Net Software

Arkin Net develops tools that speed VMware NSX deployments. The deal potentially helps VARs and MSPs to more rapidly deploy software-defined data centers (SDDC).

123 Wheelhouse IThttp://www.wheelhouseit.com/ MSP Untangled Solutions Healthcare IT

Wheelhouse IT, a national MSP, acquired Untangled for its health care and patient privacy expertise. The deal surfaced at CompTIA ChannelCon 2016, a major gathering of IT channel partners.

124 Windstreamhttp://www.windstream.com/ Network EarthLink Network This $1.1 billion merger focuses on network services. EarthLink had sold off

its MSP business several months before this deal emerged.

Top 100 Mergers and Acquisitions: 2017 Report

www.ChannelE2E.com • ©2017

Additional Resources

Additional ResourcesChannelE2E’s website tracks mergers and acquisitions on a daily basis. Follow these links for more information:

◗ VALUATIONS AND BUSINESS MODELS: www.ChannelE2E.com/FAQ

◗ THE LATEST M&A DEALS, NEWS AND ANALYSIS: www.ChannelE2E.com/category/milestones

◗ RESEARCH REPORTS: www.channelE2E.com/research

◗ WEBCASTS: www.channelE2E.com/webcasts

ChannelE2E Contacts◗ EDITORIAL CONTENT AND RESEARCH: Content Czar Joe Panettieri, Joe@AfterNines.com

◗ SPONSORSHIPS AND ADVERTISING: CEO Amy Katz, Amy@AfterNines.com

www.ChannelE2E.com • ©2017

Engaging with ChannelE2E

ChannelE2E, from After Nines Inc., guides IT service providers from Entrepreneur to Exit (E2E). To participate in our quarterly

research and webcasts please visit:

For more information, please contact:Amy Katz, CEO, Amy@AfterNines.com

Joe Panettieri, Content Czar, Joe@AfterNines.com

WEBCASTS: www.ChannelE2E.com/webcasts

RESEARCH: www.ChannelE2E.com/research