Sinch AB, a global company offering cloud communications for mobile customer engagement, has entered into a definitive agreement to acquire MessageMedia, a provider of mobile messaging solutions for small and medium-sized businesses in the United States and Australia, New Zealand, and Europe. Sinch will pay a total enterprise value of $1.3 billion, with a total cash consideration of $1.1 billion and 1,128,487 new shares in Sinch.
“Addressing small and medium-sized businesses opens up a new avenue to growth and dramatically expands our addressable market,” comments Oscar Werner, Sinch CEO. “With MessageMedia as a part of Sinch, we will have the best team in the industry to capitalize on that opportunity.”
“Mobile messaging delivers tremendous ROI but smaller businesses often lack tools that cater to their specific needs,” comments Paul Perrett, MessageMedia CEO. “Serving these customers presents a tremendous opportunity, and with Sinch we can build a global leader in our field“.
MessageMedia is acquired through the legal entity Message4U Pty Ltd, which is registered in Australia.
Handelsbanken Capital Markets is acting as financial advisor and K&L Gates LLP as legal advisor to Sinch in the transaction. J.P. Morgan is acting as financial advisor and Herbert Smith Freehills as legal advisor to MessageMedia.