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At a Glance
Sinch, a cloud communication company, recently announced the acquisition of MessengerPeople. Sinch will pay a total enterprise value of $ 56.2 million, consisting of $ 39.4 million in cash and $ 16.8 million in new Sinch shares.
Sinch will pay a total enterprise value of EUR 48 million (approx. $ 56.2 million), consisting of EUR 33.6 million (approx. $ 39.4 million) in cash and EUR 14.4 million (approx. $ 16.8 million) in new Sinch shares. This deal equates to a Swedish Krona (SEK) 489 million enterprise value approximately.
I’m very impressed with the MessengerPeople team and their success in bringing innovative products to market. Most businesses have yet to discover the benefits of conversational messaging, and together we are superbly placed to win in this market as uptake now begins to accelerate.Oscar Werner, CEO of Sinch
MessengerPeople, founded in 2015 in Munich, provides a cloud-based software suite that enables businesses to engage with their customers via messaging apps such as WhatsApp, Telegram, and Apple Business Chat (iMessage).
MessengerPeople was among the first innovators to recognize the potential of next-generation messaging channels and develop software tools for businesses to leverage these capabilities. Over 700 companies use MessengerPeople applications to engage with their customers, with roughly 80% of these businesses in the DACH region.
This acquisition bolsters Sinch’s ongoing organic investments and previous acquisitions in next-generation conversational messaging. The cost of integration is estimated to be SEK 16 million (approx. $ 1.85 million) over the course of a year, with goals centered on cross-selling, accelerated geographic expansion, and product integration with Sinch’s communication APIs and related Sinch applications.
Mobile messaging is simple, quick, and interactive – and used by people all over the world. Empowering businesses to use messaging is a tremendous market opportunity, and teaming up with Sinch gives us the size to pursue it on a global scale.Franz Buchenberger, founder & CEO of MessengerPeople