Unique Evaluation: Authorized Tech Exits, 2001-2022

Lately, I posted right here an exclusive analysis of legal tech funding from 1984 to 2020, a video timeline exhibiting the evolving bar chart of investments in authorized tech over almost 4 a long time.

Now I’m able to solely current one other evaluation of authorized tech offers — this time of exits within the types of acquisitions or different offers from 2001 as much as Oct. 25, 2022.

As earlier than, this evaluation was compiled and created by Raymond Blijd, founding father of Legalcomplex.com, an organization that’s within the enterprise of monitoring investments and market information.

On this evaluation of acquisitions,  Blijd discovered:

  • A complete of 901 offers, of which 892 have been distinctive and 16 involving corporations acquired a number of occasions (comparable to Consilio and AbacusNext.
  • A complete greenback worth of offers of $59.1 billion.
  • The highest three classes of offers, based mostly on numbers of offers, have been e-discovery, observe administration and contract tech.
  • The highest three classes based mostly on greenback values have been e-discovery, mental property and tax.
  • The common deal worth was $65 million.
  • The common firm age at exit was 11.9 years.

“That is our third evaluation on the return of an funding of a authorized tech enterprise” Blijd informed me. “Essentially the most regarding perception listed here are the similarities between reputation of e-discovery and contract tech. Essentially the most profitable investments traditionally are in mental property and tax.

“But, if we take a look at the startup pipeline, we see little IP tech. We do see a colourful set of latest classes, It’s thrilling to see what the recent crop of startups will return in worth at an more and more youthful age.”

For any reader concerned about going deeper into this information or getting the complete breakdown, attain out to Blijd via his web site. His Spark Max custom dashboards present regularly up to date insights with numbers and names, and so they present narratives in graphs, charts, and maps.