M&A Activity in the European Manufacturing Industry — A Review of the Last 5 Years

  • How many software acquisitions have manufacturers done in the last years?
  • Do manufacturers also acqui-hire companies?
  • Metrologic Group that got acquired by Sandvik for €360M. The Metrologic Group develops 3D inspection software and electronics. Sandvik wants to use the software for continuous measuring throughout the whole manufacturing process, instead of manual measuring performed in a workshop. In the year before the acquisition, Metrologic Group did €43.4M in revenue, so we can assume a 7–8x revenue multiple, which is very high.
  • PTV Group that got acquired by Porsche SE for €338M. PTV Group develops software for transport planning and logistics, such as traffic simulation software. According to press statements, this is a strategic investment for Porsche that sees significant “potential in optimizing the flow of people and goods”. PTV Group has its HQ in Karlsruhe, which is only an hour away from Porsche facilities in Stuttgart-Zuffenhausen (South Germany).

Quo Vadis?

The data shows us that manufacturing companies have acquired very few software companies and startups in Europe in the past years. At the same time, it’s hard to draw conclusions based on the data if there have been a significant amount of acqui-hires in the past.

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Robin Dechant

Robin Dechant

Co-Founder @Kwest. Previously invested in SaaS & Marketplaces @PointNineCap, now by myself. Running and living in Berlin.