Thomas Scott & Co are well versed and possess the expertise to facilitate the sale of a tech, media or communications business. Whether you’re looking to start a new venture or retire, selling your business can be the best method to realise a capital exit and continue the business’s legacy. Tech, media and communication is an attractive industry to acquire due to the potential scale of the business, this sector is currently gaining a traction with private equity, portfolio acquirers and consolidators.
Businesses with a core focus on software and technology are extremely attractive when producing a valuation whereas most businesses achieve a low multiple of profit, these businesses can achieve substantial higher multiples or potentially be valued on revenue.
To learn more about how we can assist in selling your tech, media or communications business—from adtech and SAAS to managed IT providers—request a business valuation or contact Thomas Scott & Co today.
Our service is delivered to precisely match the unique needs of our clients, whether they are navigating the complexities of selling a business or planning for a long term exit. We are dedicated to delivering superior outcomes for our clients, ensuring their satisfaction and success every step of the way.
We pride ourselves on offering a quality service, tailored to exceed expectations. We believe in building relationships that stand the test of time. With each interaction, we strive not only to meet but to surpass our clients’ needs and aspirations, ensuring their journey with us is one characterised by excellence and lasting satisfaction.
We specialise in guiding clients through M&A landscape with clarity. Our team of advisors leverage their understanding of M&A to support at every stage of the process, from initial strategy development to due diligence and seamless execution, we offer tailored solutions that allow our clients to make informed decisions.
The UK M&A market for tech, media, and communications (TMC) has demonstrated remarkable resilience despite various challenges, reflecting the sector’s strategic importance and growth potential. In 2023 alone, the TMC sector accounted for over £50 billion in deal value, representing a substantial portion of the UK’s total M&A activity. This surge was driven by significant interest from both domestic and international acquirers, fueled by rapid digital transformation and the growing reliance on technology in business operations and daily life. Notably, the tech sub-sector has seen a 15% year-on-year increase in deal volume, underpinned by strong demand for innovative tech solutions, content streaming, and digital advertising, all of which have been central to deal activity.
Several key statistics underline the sector’s attractiveness. For instance, the TMC sector’s growth rate is projected to exceed 10% annually over the next five years, positioning it as one of the fastest-growing industries in the UK. Within the tech sub-sector, advancements in artificial intelligence, cloud computing, and cybersecurity have made tech firms particularly compelling targets, with AI-related deals alone increasing by 30% in 2023 compared to the previous year.
Moreover, media companies, driven by the need to expand their digital capabilities and market reach, have been active in M&A, with the digital advertising market in the UK expected to reach £27 billion by 2025, up from £19.4 billion in 2022. This reflects a broader trend of consolidation, as companies seek to leverage synergies and enhance their offerings in an increasingly competitive environment.
Foreign investment has also been a significant driver, with international acquirers accounting for nearly 40% of TMC deal value in 2023. This influx of foreign capital has been particularly evident in the communications sector, where strategic acquisitions have bolstered the UK’s infrastructure and digital services, creating a more robust environment for continued M&A activity.
Despite some economic uncertainties, the overall sentiment remains positive. Industry experts predict that the TMC sector will continue to attract substantial M&A interest, with deal-making momentum expected to persist throughout 2024. This optimism is supported by projections indicating that the sector could see a further 20% increase in deal volume, driven by the ongoing digital transformation and the strategic importance of acquiring advanced technologies.
We are an independent Sell-Side M&A advisors who are driven to deliver outstanding results for their clients regardless of the size of business or scope of work. As we are sector agnostic we can leverage our buyer base and knowledge to a larger range of clientele on an international scale. As of 2024 we now have operations across 3 countries with global servicing capabilities meaning that we can draw in more acquirers and investor when supporting clients on M&A projects.
