CellTrust Sells SMS Marketing Business to 3Cinteractive
Another SMS marketing acquisition this week, as yesterday CellTrust sold their their SMS marketing portion of their business to 3Cinteractive. This comes less than a month after Waterfall sold their SMS marketing business for $24.4 million to Upland Software.
For more information on this acquisition, watch the video below.
Read the press release by clicking here.
Hey, everyone, Derek Johnson with tatango.com. I thought I’d do a quick video to update everybody because yesterday, there was another SMS marketing acquisition. This time 3Cinteractive, or 3Ci, has acquired the SMS portion of the business CellTrust. So CellTrust has two different businesses, essentially. They have the SMS marketing business, and then they have an encrypted messaging type business. So the SMS marketing business is now going over to 3Cinteractive.
So I reached out to some people out 3Cinteractive, got a little more flavor on the deal. I wanted to share that with our followers here. So the deal includes 300 customers from CellTrust that are moving over to 3Cinteractive. That also includes four employees from CellTrust are moving over to 3Cinteractive.
What’s interesting to note is that 3Cinteractive, this is their second acquisition this year. So if you’ve been following the Tatango blog, you’ve known that they acquired SITO Mobile earlier in February and, now, CellTrust or at least CellTrust’s…their SMS business. So those two businesses combined, at least according to 3Cinteractive are gonna add anywhere from $4 to $5 million in top-line revenue to their already $30 million in revenue per year, so considerable acquisitions that they made already this year.
And as you’ve kind of seen, if you’ve been following the Tatango blog, there’s a lot of consolidation happening. Just 15 days ago, Upland Software purchased Waterfall, another SMS marketing provider, for $24.4 million. So as you can see, a lot of big companies that have cash are acquiring smaller companies and rolling them up into kind of a one solution.
So I think you’re gonna see more and more of this happen as time goes on. This usually happens in economies like we are right now where there’s a lot of interest in mobile messaging, a lot of fragmented players in the space. So if you combine those two things, and especially with companies that have a lot of capital, they’ll be rolling up smaller companies into these bigger companies, essentially acquiring customers.
So that’s what happened yesterday with 3Cinteractive, acquiring the SMS marketing business of CellTrust.