ComCap’s European M&A and Private Placements update 2022

We are pleased to present an update on M&A and funding activity in Europe, doing so with the aim of helping increase transparency and communication between the companies themselves, as well as financial and strategic investors.

The report highlights several trends that European companies are executing in the space – we expect to see a divergence in financial performance and market share between those making aggressive investments and expansion in technology now and those who hesitate.

We see the companies in this report as disruptors in the individual sub-sectors due to the greater adoption of innovative upcoming technologies discussed in the report. Sectors gaining traction in terms of funding and M&A activity in Europe are Analytics, IoT, AR/VR, Digital marketing, Retail personalization, Retail merchandising, and logistics.
Key trends:
  • European firms have increasingly started using AI in marketing with a strong focus on collaboration between marketing and data science. The predictive analytics solutions are helping retailers re-direct marketing efforts precisely. AI & Analytics companies saw robust funding and acquisition activity with 17 funding deals in 1H’22 (+140% vs. 1H’21) and 6 M&A deals (+100% vs. 1H’21)
  • Europe has seen the emergence of connected logistics systems resulting in demand for IoT solutions such as track & trace solutions, real-time KPIs, push notifications, supply chain monitoring, and vehicle tracking by large firms. 1H’22 saw an uptick in M&A activity with deals worth $1.5bn (+128% vs. 1H’21). One of the most important deals was INWIT’s acquisition by Ardian for $1.4bn in March 2022
  • With global marketing tools coming increasingly under the scrutiny of Government authorities, well-established European alternatives in the field of omnichannel marketing automation are likely to thrive going forward. Digital marketing companies saw robust funding and acquisition activity with 9 funding deals in 1H’22 (+131% vs. 1H’21)
  • Key emerging AR/VR technologies in European retail markets are virtual showrooms, in-store activation, navigation, and virtual try-on solutions to name a few
  • Europe is considered to be a pioneer in personalization. Many European companies have implemented personalization into their loyalty programs and are aiming to engage with customers outside of the buying cycle
  • To cut costs and enhance productivity, European eCommerce & retail companies (including grocery giants such as Tesco and Carrefour) are increasingly resorting to automated warehouses that use robots, AI, IoT, and automated guided trucks