When business acquisitions are announced, the news typically includes some version of this language: Terms of the deal were not disclosed. In other words, neither party is sharing the value of the deal. Lucky for us, that first announcement isn’t the end of the digital paper trail.
While a public company might not initially disclose how much it paid for another company, like, say how much Best Buy paid for Boston-based startup Current Health Ltd., the answer can later be found in a public filing with the U.S. Securities and Exchange Commission.
BostInno found a couple of deals where large, public companies acquired Boston startups and the financial details flew under the radar. Here's what we now know about the deal value for these startup acquisitions:
Current Health Ltd. Acquired by Best Buy for $400 million
Best Buy, a consumer electronics company based in Minnesota, announced in October its acquisition of Boston-based Current Health. The remote health care software company worked with large brands helping to care for patients at home, including Mount Sinai Health System, Geisinger Health and the UK National Health Service. It is also used by major pharmaceutical companies such as AstraZeneca (NASDAQ: AZN) to support home-based drug trials.
In a Form 10-Q filed in December, Best Buy (NYSE: BBY) revealed its agreement to acquire Current for about $400 million and said the deal closed in November.
The size of the deal would have ranked in the top 30 largest M&A deals of 2021, according to Business Journal research.
Current Health's platform collects patient data through biosensors on a wearable continuous monitoring device to give the healthcare organization insight into their condition. Clinical algorithms are then used to determine whether the patient needs clinical attention or the organization can manage patient care remotely or coordinate in-home care via Current Health's integrated service partners.
Best Buy has expanded its healthcare tech offerings in recent years, including devices for seniors. The retailer launched cellphone Lively Flip last September, partnered with an Israeli startup to market virtual diagnostic services in 2019 and bought provider of mobile devices for older adults GreatCall Inc. in 201
Turbonomic Inc. acquired by IBM Corp. for over $1.8 billion
IBM announced its pending acquisition of the Boston tech firm Turbonomic in April 2021, with sources reporting that the deal was valued between $1.5 billion and $2 billion.
These reports were spot on. IBM (NYSE: IBM) reported in a Form 10-Q filing in July that it completed the acquisition of Turbonomic for $1.8 billion. Turbonomic is a software provider helping companies monitor the performance of their business applications. It raised about $150 million in funding since launching in 2008.
Last year was a busy one for public companies acquiring Boston startups. One of the most notable was Uber Technologies Inc.’s (NYSE: UBER) acquisition of Boston-based Drizly Inc. for $1.1 billion in stock and cash. Microsoft Corp. (NASDAQ: MSFT) completed its $19.7 billion acquisition of Burlington-based Nuance Communications Inc. in early 2022 after first announcing the deal a year ago. And Hyundai Motor Group bought a controlling interest in robotics firm Boston Dynamics Inc. from SoftBank Group Corp., valuing the Waltham robotics firm at $1.1 billion.
