June SMB Software News Recap

Each month we report on news and updates for the companies in the SurePath SMB Index — a basket of 35 publicly traded software and technology companies that serve the SMB market. Here is what made the news this month:

Acquisitions:

• GrubHub acquired Foodler, one of the largest independent North American online food-ordering companies for an undisclosed price
• LendingTree had a busy month, swooping up the assets of DepositAccounts and acquiring MagnifyMoney for as much as $39.5M. “The acquisition of MagnifyMoney is a continuation of LendingTree’s disciplined acquisition strategy and accelerates our product and marketing channel diversification efforts,” said Doug Lebda, founder and CEO of LendingTree
• Shutterstock acquired Flashstock, a custom content creation platform based out of Toronto 🇨🇦 for a total consideration of around $50M in cash. The acquisition will allow Shutterstock to grow their partnerships with major brands for more content on-demand opportunities

New Product Launches This Month:

• Atlassian introduced an enterprise solution called Atlassian Stack which provides a collection of data centre and server products for collaboration across multiple teams
• GoDaddy announced a new website security suite powered by Sucuri.
• First Data announced a local payments solution, which will provide digital businesses and their customers with access to 195 local payment options when fully implemented
• Square opened up their prepaid customizable debit cards to the general public
• Xero announced several enhancements to its recurring jobs feature by allowing users to create jobs that recur regularly for the same client making it easier to keep track in their records for workflow and billing

Other News:

• H&R Block announced that their DIY products have surpassed 100 million tax returns prepared, making up for some of the reduction of in-person filings at their brick & mortar locations
• Hubspot is giving someone $100,000 to quit their job and start a company in an effort to promote entrepreneurship
• LendingClub issued almost $280M USD in notes via a self-sponsored securitization backed by consumer loans
• Angie’s List laid off 70 people (mostly sales staff) amid declining revenue despite the merger deal with HomeAdvisor
• Sage sold its payments business (which it put up for sale several months ago) to the private equity firm GTCR for $200M

Bonus

Dex Media acquired YP Holdings, the publisher of the “Real Yellow Pages” and operator of YP.com. The combined company is called DexYP. The entity will continue to offer business automation software and marketing solutions to more than 700,000 small to medium businesses across the US. With YP and Dex both struggling amidst continued shift towards digital, the combined entity is much better suited to leverage their large brands and customer base to renew its struggle against the tide.

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