Advice on the sale and consolidation strategy of a B2B corporate video platform
Summary
ST strategy advised the company on the search for a strategic buyer and on the design of a sector consolidation strategy.
Video has become a core communication tool for companies and public bodies: live events, training, internal communication and social media content. Even so, the market for professional video platforms in Spain remains highly fragmented.
VideoEnterprise* developed an end-to-end platform to manage, produce and distribute live and on-demand video across multiple channels, with audience interaction tools and leading corporate and institutional clients.
ST strategy advised the company on the search for a buyer and, later, on a growth strategy through consolidation.
Corporate video SaaS
Sale of the company
Consolidation strategy
The full story
Opportunity
The company had mature technology, recurring revenue and a high gross margin, but needed scale and international sales capacity to grow.
The initial goal was to find a corporation to acquire the company. Based on market feedback, ST strategy proposed turning it into the consolidation platform of a fragmented sector.
Recommendations
Based on the analysis carried out by ST strategy, we worked along two lines:
- Sale process: Preparation of the Business Plan, Information Memorandum and Teaser, and screening and outreach to international strategic buyers in video, communication and technology.
- Consolidation thesis: Identification of complementary platforms in the Spanish market and analysis of the combined entity: revenue, profitability, synergies and integration steps.
- Target analysis: Individual study of potential acquisition targets, with valuation ranges, payment structure and risks linked to client concentration.
* The confidentiality of our clients is a priority of the company. Although we have changed their names, the information is real.