Pinterest acquires Icebergs
When a company that has created a successful service wants to expand that service to cater to a new audience, sometimes purchasing a company that is already providing these capabilities is a good acquisition strategy. It was reported recently that the social photo-sharing site Pinterest will be acquiring Icebergs. Icebergs offers a functionality that is similar to Pinterest, but directed to the specific audience of people who work in creative fields.
According to Tech Crunch, Icebergs gives people in creative fields the tools that enable them to organize various work they have done and share it with others. Users can use the service for files, videos, images, articles and more. The service is directed at professional designers.
As has been discussed in previous posts on this blog, many companies these days are buying other companies in a move to gain the talented teams they need to develop the products and services that will make them stronger, more profitable competitors in the marketplace. As Tech Crunch notes, the co-founders of Icebergs will be moving on to join the Pinterest team, which will require them to move from where they are currently based in Spain, to where Pinterest is based, in San Francisco.
Regardless of the specific reason behind an acquisition, companies considering entering this process should consult with an M&A advisor to learn more about the many details that are involved in a merger or acquisition deal. From figuring out when the optimal time to be acquired is, to learning about everything that is involved in conducting due diligence, there is a lot of preparation and consideration that goes into acquiring and being acquired. An M&A advisor can help you sort through the process and develop a sound acquisition strategy.