Lumine Group will purchase Synchronoss for $116.4m, taking the cloud-software agency non-public, increasing Lumine’s international scale and long-term “buy-and-hold” technique.
Acquisition – Lumine buys Synchronoss for $116.4m fairness worth (enterprise worth $258.4m), finishing its multi-step acquisition and taking the agency non-public.
Portfolio – Synchronoss brings 11m subscribers, main cloud scale, and robust operator ties to Lumine’s 30-plus telecom/media software program companies.
Technique – The deal strengthens Lumine’s position as a significant consolidator, providing Synchronoss stability, funding, and long-term development underneath its perpetual-ownership mannequin.
Canadian tech holding firm Lumine Group has agreed a deal to amass US telecoms software program outfit Synchronoss Applied sciences for $116.4 million in fairness worth. It values the corporate at $9 per share, about 70 p.c increased than its inventory was buying and selling a day previous to the deal’s announcement (December 4). It implies an enterprise worth of about $258.4 million, masking its money owed and different monetary obligations.
Synchronoss offers white-label cloud infrastructure and administration providers for telecom operators. It can go from being a public to a personal firm underneath its new stewardship. The transaction is predicted to shut within the first half of 2026. It completes a multi-step acquisition of the New Jersey agency, successfully. Lumine acquired two different companies (its legacy ‘Messaging’ and ‘NetworkX’ models) from it in 2023.
The brand new settlement will see it tackle its core cloud enterprise. Synchronoss says 11 million subscribers use its cloud providers; it claims to course of 50 million pictures per day, and handle 230 petabytes of storage globally. Lumine calls itself a “buy-and-hold without end” acquirer of comms and media software program companies; it purchased Nokia’s System Administration (DM) and Service Administration Platform (SMP) models for €185 million in late 2023.
Its technique is to function and develop companies, usually distressed/under-leveraged software program corporations, with monetary capital and operational assist – fairly than to construct merchandise from scratch, or to strip and flip corporations for fast returns. It owns greater than 30 firms in additional than 50 nations, offering principally software program and providers for telecoms-related industries – together with enterprise and operations assist programs (BSS and OSS), community functions and media monetization, infrastructure administration, and different customer-management instruments.
It claims greater than 1,000 communications and media firms globally. The acquisition of Synchronoss cements its place as a significant consolidator in telecom/media-software, buying a well-established cloud-infrastructure supplier that enhances its current roster of companies. It expands Lumine’s providers portfolio, buyer base, and international scale; it offers Synchronoss a personal possession construction in a diversified group aligned with long-term stability and potential development.
Jeff Miller, chief govt at Synchronoss, mentioned: “After three years of collaboration and witnessing firsthand how our former companies have flourished underneath Lumine Group’s stewardship, we imagine this to be the logical and proper dwelling for our enterprise. For our workers, we imagine it will imply extra alternatives inside a bigger group at scale, whereas our clients will acquire entry to enhanced capabilities by way of Lumine Group’s diversified portfolio.
“This transaction… will ship fast, tangible worth and place our Firm for long-term development, representing an amazing alternative to speed up innovation, develop our market attain, and supply further assets to drive our development technique. Collectively, we will likely be positioned to guide the following era of cell cloud storage options and seize a bigger share of the quickly increasing market.”
David Nyland, chief govt at Lumine, mentioned: “This acquisition will mark Lumine Group’s first acquisition of a public firm and reinforce our mission to guard our clients’ manufacturers and mission-critical options with our perpetual possession. As with each acquisition, as soon as the transaction closes, our first precedence will likely be to allow a seamless transition for each clients and workers as we welcome this enterprise to Lumine Group.”
