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Congratulations to Eutecus on its Sale to Sensity Systems and Subsequently Verizon

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I would like to offer my congratulations to Csaba Rekeczky and the folks at Eutecus on the successful sale of their company to Sensity Systems (see http://merger.com/transactions/eutecus-acquired-sensity-systems/).  The entire Mirus team, including Peter Alternative and I, are proud to have acted as advisors in this transaction and are pleased to play a part in helping Eutecus to take the company to the next level.  For those of you who don’t know Eutecus (www.eutecus.com), they are a world leader in Video Analytics for the internet of things with a focus on verticals such as intelligent lighting, smart city, ADAS and retail.  This transaction is significant for a variety of reasons:

  • This is another example of the red hot internet of things market that we are currently experiencing. Mirus found potential for multiple suitors for Eutecus, as demand for IOT technology and domain expertise is high with many large companies making significant investments.
  • Ultimately Eutecus chose to combine forces with current partner Sensity Systems, in a play that made each company better, more complete, and ultimately more valuable, allowing them to sell the combined entity to Verizon shortly after the merge. Verizon, you may know, is one of the companies investing heavily in the future of IOT by making multiple acquisitions in the past year.
  • Eutecus was originally a Hungarian Company, which moved to the US and through a lot of hard work the Commercialized their technology for a variety of markets, while keeping its core technology team in place in Hungary.  The sale included significant consideration of international legal structure, tax and personnel issues.
  • As with many technology companies, due diligence was substantial, including navigation of often sensitive IP issues.

For Mirus, this is one of the first of what we believe will be many IOT transactions.  Stay tuned for more information on IOT as we anticipate starting industry M&A analysis coverage soon, along with sponsoring a conference focused on IOT (and other tech) this winter or spring.