DJE Holdings is acquiring boutique digital content agency Mustache from global IT solutions provider and software developer Cognizant Technology Solutions. Financial terms of the deal were not disclosed.
This is technology M&A deal number 119 that ChannelE2E has covered so far in 2022. See more than 1,000 technology M&A deals for 2022, 2021, and 2020 listed here.
Mustache CEO John Limotte will continue to lead the business under DJE's ownership. Mustache, which serves such clients as Netflix and Under Armour, has a team of roughly 50 production, creative and digital employees.
Why Cognizant Exited Mustache
Cognizant has owned the business since January 2019, but apparently is shifting away from a boutique agency focus. In a prepared statement about the exit, Cognizant Digital Business and Technology President Rajesh Nambiar said:
"Mustache was acquired by Cognizant in January 2019, supporting our vision at the time for providing clients with digital content services through a boutique agency network. We've since shifted away from the agency model. Our focus and investments are increasingly directed at expanding core technology and data offerings, versus agency services, to help clients engineer extraordinary digital experiences for their customers and employees. Mustache joining Edelman opens up new opportunities for all parties."
Meanwhile, Cognizant continues to acquire companies that focus on the Internet of Things (IoT), cloud, artificial intelligence and analytics, and software product engineering, among other areas of focus.
DJE Acquires Mustache: Executive Perspectives
In a prepared statement about the deal, DJE Chair Richard Edelman said:
"Mustache is closely aligned with our vision to create content that drives action at the intersection of news, culture and attention. They have an excellent record of delivering category-leading creative, and this is where we see tremendous growth opportunity today and in the future."
Added Lisa Kimmel, global managing director of Sector Specialty Agencies, DJE Holdings:
"Mustache adds depth to our creative, studio, and social capabilities for our SSAs and will scale our ability to deliver ever-increasing content demands for new and existing clients. We look forward to welcoming the Mustache team and to our future achievements together."
Concluded Limotte:
"We are excited to join the DJE portfolio, which brings scale and domain expertise to our role as a creative hub and one-stop-shop for content needs. Joining DJE will also open up new career possibilities for our people. Our organizations are aligned on commitments to creativity, excellence and action that brands need to succeed in today's environment."
