Software and Technology Monthly Newsletter

In This Edition:

• March 2025 in Review

• Public Market Dashboard

• How to Respond to a Trade War

• Mergers and Acquisitions

March 2025 In Review

March 4 - The Ontario government cancels a $100MM contract with Elon Musk-owned satellite internet company Starlink and will ban all U.S. based companies from participating in provincial procurement in response to U.S. imposed tariffs.

March 10 - The federal government launches the AI Compute Access Fund, aim at assisting Canadian companies with less than 500 employees to access financial support for AI compute infrastructure.

March 12 - The Bank of Canada reduces key rate by 25 basis points to 2.75 per cent amid the US-Canadian tariff war.

March 12 - Google debuts two new AI models, Gemini Robotics and Gemini Robotics-ER (extended reasoning) that is intended to power physical robots. 

March 31 - Shopify (TSX:SHOP) transfers its NYSE listing to the NASDAQ.

Public Market Dashboard - March Year-to-Date Returns

How to Respond to a Trade War

Q1 2025 saw escalating U.S. tariffs, including a 25% levy on steel and aluminum effective March 12. Canada, a primary target, responded amid global scrutiny, as international leaders watched the unfolding economic tensions.

 We summarized the responses so far from key U.S. trading partners to date below:

Finaincing

Below we summarized a few recent tech financing transactions:

Mergers and Acquisitions

Application Software:         

Mar 4 – ZenaTech (NASDAQ:ZENA) acquires UK based OTHERSHIP. Acquisition of workplace scheduling software company to expand internal application development expertise via quantum computing.

Mar 12 – Fredericton, NB based Remsoft acquires Ottawa based Lim Geomatics. Acquisition of forestry software provider specializing in geospatial and operational analytics to expand platform with geospatial intelligence, LiDAR, and forest machine telematics capabilities that deepen insights into forest operations.

Mar 13 – Kraken Robotics (TSXV:PNG) acquires Longmont, CO based 3D at Depth. US$17MM acquisition of subsea tech and services company specializing in high resolution LiDAR imaging and measurements with 56 personnel.

Mar 17 – Shopify (TSX:SHOP) acquires San Jose, CA based Vantage Discovery. Acquisition of scaled AI-powered SaaS platform enabling intelligent search, discovery and personalized recommendations to enhance advertising offerings.

Mar 18 – Trilogy AI (TRAI-CN) acquires Toronto based WealthAgile. Acquisition of cryptocurrency software provider offering automated portfolio management services.

Mar 24 – Pollard Banknote (TSX:PBL) acquires Hayward, CA based Pacific Gaming. Acquisition of the business of Pacific Gaming, LLC and LIF Capital Group, a recognized leader in bingo electronics, handhelds, blowers, point-of-sale systems, and bingo management systems.

Mar 26 – Bend, OR based Kicksaw acquires Toronto based SkyVenn. Acquisition of managed services partner of Salesforce to enhance Salesforce offerings and ecosystem.

Mar 31 – Tiny (TSXV:TINY) acquires 66% stake in New Zealand based Serato Audio Reseach. US$66MM acquisition of 66% equity interest in global DJ software company serving over 2MM users worldwide to enhance software portfolio for 3.2x revenue and 9.6x EBITDA.

IT Consulting and Services:

Mar 4 – AnalytixInsight (TSXV:ALY) acquires Toronto based Polymath Research. Acquisition of capital markets ecosystem provider offering creation and management of digital securities as part of reverse takeover.

Mar 5 – Schaumburg, IL based Convergint acquires Saskatoon based Delco Security. Acquisition of Canadian Master Systems Integrator specializing in complex technology integrations from Delco Automation to strengthen key vertical capabilities and support North American strategic growth.

Mar 6 – Vancouver based Scarlet Security & Risk Group acquires Mississauga based OHM. Acquisition of security systems integrator provider including installation and preventative maintenance within the GTA to expand into the ON market.

Mar 6 – Mississauga based Supra Canada Technologies acquires Toronto based Apogee IT Services. Acquisition of managed IT services and tech support provider to strengthen North American presence, enhance service delivery and broaden tech offerings.

Mar 18 – Winnipeg based Taiv acquires Kingston, ON based Local Reach. Acquisition of founding team and assets of business televisions tech startup offering AI products to deliver more targeted ads to expand market presence.

Mar 18 – Minneapolis based Perforce Software acquires Montreal based P4 One. Acquisition of digital creation tools platform provider to unifiy digital creation tools under an integrated ecosystem.

Mar 21 – Vancouver based UniDoc Health acquires software and assets from Chelmsford, MA based AMD Telemedicine. Acquisition of AMD Telemedicine’s name, Agnes Connect software, related intellectual property, customer subscriptions, and accounts to strengthen telehealth offerings.

Mar 25 – CGI (TSX:CGI) acquires Quebec City based Momentum Technologies. Acquisition of IT consulting services provider specializing in data analytics and business intelligence with over 250 personnel to deepen local presence and capacity.

Mar 25 – Iocaste Ventures (TSXV:ICY-P) acquires Japanese firm LayerX. Acquisition of tech company focused on advancing emerging blockchain protocols through innovative staking and infrastructure solutions.

Mar 31 – CGI (TSX:CGI) acquires French company Apside. Acquisition of healthcare AI company focused on preventative care by exercising a call right following the HEALWELL's acquisition of New Zealand based Orion Health Holdings, a subscription license and service revenue business offering healthcare navigation products and services.

Data Processing and Outsourced Services:         

Mar 4 – Enghouse Systems (TSX:ENGH) acquires Slovenian company Margento R&D. Acquisition of European provider of transit fare collection, account-based ticketing, automatic vehicle tracking, and payment solutions to expand European presence, create sales synergies via a combined go-to-market approach.

Mar 5 – Montreal based MEDFAR Clinical Solutions acquires Kanata, ON based CareWay. Acquisition of AI pioneer in the healthcare industry to accelerate innovation roadmap.

Mar 11 – Deloitte Canada acquires Vancouver based Pocketed. Acquisition of grant and tax credit matching program provider with AI capabilities to be integrated into product suite.

Mar 12 – Holmdel, NJ based Docupace acquires Vancouver based Hubly. Acquisition of fintech company offering a workflow management platform for financial advisory to accelerate functionality and to advance value offerings.

Mar 18 – Vancouver based Klue Labs acquires Vancouver based Goldpan Technologies. Acquisition of AI-driven win-loss research startup to enhance capabilities and provide deeper buyer insights.

Mar 27 – Toronto based Publicis Group acquires Montreal based Moov AI. Acquisition of AI and data solutions company with 60 personnel to enhance AI-driven engine capabilities.

Mar 31 – WELL Health Technologies (TSX:WELL) acquires Toronto based HEALWELL AI. Acquisition of healthcare AI company focused on preventative care by exercising a call right following the HEALWELL's acquisition of New Zealand based Orion Health Holdings, a subscription license and service revenue business offering healthcare navigation products and services.

System Software:

Mar 4 – North York, ON based iLobby acquires Annapolis, MD based SCLogic. Acquisition of logistics management solutions provider to integrate technology and expertise into acquirer's FacilityOS platform.

Mar 5 – Dutch company OB Trading acquires Vancouver based KeyFi Issuer. Acquisition of DeFi portfolio solutions provider to simplify DeFi for the consumer market and to combine strengths.

Mar 13 – Vancouver based Clio acquires United Kingdom company ShareDo. Acquisition of cloud-based enterprise software provider to expand global footprint and enhance innovation.

Mar 21 – Vancouver based JDM Technology Group acquires Columbia, MD based Successware SPE. Acquisition of field service management software provider to enhance portfolio and to strengthen North American market presence.

Mar 26 – Descartes Systems Group (TSX:DSG) acquires Columbus, OH based 3Gtms. US$115MM acquisition of transportation management platform provider to expand North American presence and to add network of API-integrated LTL carriers.

Internet Services and Infrastructure:

Mar 11 – Victoria, BC based Redbrick acquires New York based Paved. Acquisition of newsletter advertising platform provider connecting newsletter creators with advertisers to enhance advertising solutions.