Sinch, which specialises in cloud communications for mobile customer engagement, has entered into a definitive agreement to acquire myElefant for an upfront cash consideration of EUR €18.5m, with an additional cash earnout of up to €18.5m within two years if certain gross profit targets are met. The transaction is expected to close in early October 2019.
In 2018, myElefant generated revenues of €10.5m 10.5 million, a gross profit of €3.1m, and EBITDA of €0.8m. The company employs 41 people in Paris and Bordeaux.
Founded in Paris in 2010, myElefant has built a cloud-based software platform for mobile engagement using rich, interactive messaging. Its low-code design tools enable businesses to create immersive media experiences with minimal coding or development resources. The company has been an early adopter of conversational messaging technologies like RCS, Facebook Messenger, and WhatsApp.
The myElefant SaaS (Software-as-a-Service) platform is currently used by more than 160 enterprise customers, including Orange, Nespresso and Nissan. Advanced mobile landing pages, that are unique to each recipient, let businesses combine the reach of SMS with the rich media capabilities, interactivity, and analytics that a web page can offer.
According to myElefant data, simple messages engage consumers for an average of three seconds, rich messages extend that engagement to 45 seconds, whereas conversational (two-way) messages deliver up a 2-minute average for each engagement.
“Through advanced yet easy-to-use software, myElefant has successfully shown how next-generation messaging can drive tangible and measurable business outcomes,” said Synch CEO, Oscar Werner. “With myElefant as a part of Sinch, we can offer our global customer base and established ecosystem partners a sophisticated software platform, with powerful real-time analytics, that offers a step-change in customer experience.”