The US technology industry saw a drop of 29.7% in overall deal activity during April 2020, when compared with the last 12-month average, according to GlobalData’s deals database.

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A total of 436 deals worth $4.52bn were announced in April 2020, compared to the 12-month average of 620 deals.

Venture financing was the leading category in the month in terms of volume with 296 deals which accounted for 67.9% of all deals.

In second place was M&A with 116 deals, followed by private equity with 24 transactions, respectively accounting for 26.6% and 5.5% of overall deal activity in the country’s technology industry during the month.

In terms of value of deals, private equity was the leading deal category in the US technology industry with total deals worth $3.77bn, while M&A and venture financing deals totalled $608.37m and $150.22m, respectively.

US technology industry deals in April 2020: Top deals

The top five technology industry deals accounted for 22.3% of the overall value during April 2020.

The combined value of the top five technology deals stood at $1.01bn, against the overall value of $4.52bn recorded for the month.

The top five technology industry deals of April 2020 tracked by GlobalData were:

1) Altimeter Capital Management, Coatue Management, Franklin Resources, Index Ventures and Sequoia Capital Operations’ $250m venture financing of Confluent

2) The $250m venture financing of Cohesity by Baillie Gifford &, Cisco Investments, DFJ Growth Management, Foundation Capital, Greenspring Associates, Hewlett Packard Enterprise, Sequoia Capital Operations, SoftBank Vision Fund 1, Sozo Ventures and Wing Venture Capital

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3) M12 Ventures’ $215m venture financing of PsiQuantum

4) The $150m asset transaction with Intel by MaxLinear

5) Rapid7’s acquisition of DivvyCloud for $145m.

Verdict deals analysis methodology

This analysis considers only announced and completed deals from the GlobalData financial deals database and excludes all terminated and rumoured deals. Country and industry are defined according to the headquarters and dominant industry of the target firm. The term ‘acquisition’ refers to both completed deals and those in the bidding stage.

GlobalData tracks real-time data concerning all merger and acquisition, private equity/venture capital and asset transaction activity around the world from thousands of company websites and other reliable sources.

More in-depth reports and analysis on all reported deals are available for subscribers to GlobalData’s deals database.

 

Visit our ‘Technology Deals Dashboard’ for the latest trends in M&A, PE, and VC activity, top deals and advisory league tables in the technology industry.