Sinch is a Swedish telecommunications company, based in Stockholm, that connects businesses and customers through tools that enable personal contact. During 2020, it has been very active in terms of purchasing operations in the SaaS market. For this reason, BakerTilly wanted to analyse the transactions it has carried out.
More specifically, at the beginning of 2020, Sinch has carried out three purchase operations, the first two in March itself, which concern Chatlayer and WAVYGlobal, and the last one on the 5th of May, which was the purchase of SAP Digital Interconnect. Whilst it is true that in the market SaaS There is a lot of movement because it is a young market that is in continuous growth and development, not many companies make so many operations in such a short period of time. Let us look at these transactions.
SaaS: Purchase of Chatlayer and WAVYGlobal
With regard to the first of these, the operation had a value of 6,900,900 euros, highlighting its small value compared to the second operation, which was 70,658,015 dollars. Both purchases were made, as mentioned above, in March 2020, with a difference of 7 days (the first on the 19th and the second on the 26th).
Chatlayer and WAVYGlobal are companies dedicated to improving business-to-business or customer-to-customer communication. Chatlayer is a platform that builds high-performance, easy-to-use chatbots and voicebots, while WAVYGlobal specialises in customer experience, offering tools and messaging platforms that unify and automate communication. These deals help solidify Sinch's focus on tools that connect customers with businesses in a more personal way.
Purchase of SAP Digital Interconnect
On the other hand, the SAP Digital Interconnect deal was a more recent purchase and was worth $250,000,000. As can be seen from the price alone, it is a more significant deal, as SAP Digital Interconnect is a large company that offers cloud-based communications products and serves more than 1,500 enterprise customers worldwide.
In addition, thanks to this purchase, the services provided by SAP will be fully available to Sinch. For example, a 365-day SAP Contact Centre, providing agents in the office, in the field and around the world with a single, powerful resource for all service-related tasks, with everything they need integrated into their business applications. This would be one of the many improvements that Sinch could benefit from.