Media M&A Roundup: More Deals Worth More Money In Q1

Media and advertising deals accelerated sharply last quarter, with more deals worth more money, according to a roundup published today by investment bank Petsky Prunier (registration required). This despite a slowing economy and iffy credit market.

Petsky reports 193 strategic, VC, and private equity transactions totaling $11.4 billion during Q1 2008. Deal size grew faster than the number of transactions: The number of deals increased 24% y/y (from 156 during Q1 2007) and the total deal value increased 46% y/y (from $7.8 billion during Q1 2007).

Eight companies tied for "most active" strategic buyers during Q1, each with two transactions: Accenture; AOL (TWX), which bought Goowy Media and Perfiliate Technologies; IBM (IBM); Microsoft (MSFT), which bought Rapt and YaData; Pitney Bowes; Reed Elsevier, which bought Redwood Analytics and ChoicePoint; IAC's (IACI) Ticketmaster; and WPP Group, which bought Tagora and Yankelovich.

Venture capital transactions jumped year-over-year to 108 transactions (up 86% y/y) worth $1.3 billion (up 41%). Most active investors: Accel Partners (Car Advisory Network, Genius.com, Mochi Media, OpenAds), Index Ventures (Adconion Media Group, Criteo, Panther Express, TrialPay), and Sierra Ventures (Click Forensics, Flypaper Studio, Ooyala).

As we've chronicled, ad network/exchanges were the most active segment of interactive advertising deals, with 13 deals worth $391 million in Q1, including Glam Media's $85 million round led by Hubert Burda. A year ago, interactive agencies were most popular, with 12 deals worth $297 million.

Petsky's report overlaps with a similar roundup published earlier this month by investment bank Jordan, Edmiston Group.

Disclosures: Petsky Prunier is a SAI sponsor. Panther Express is a SAI sister company.