OceanSound Acquires Message Broadcast in Partnership with EIP

Rhea-AI Summary

Message Broadcast, a customer engagement software provider for the electric utility industry, has been acquired by OceanSound Partners and Energy Impact Partners from LINK Mobility. The acquisition aims to boost innovation, increase investment, and enhance customer value. Maulik Datanwala has been appointed as the new CEO to lead the company's growth. Message Broadcast's platform automates communication workflows for utilities, financial services, telecom, and healthcare sectors, catering to 50% of the top 25 U.S. electric utilities.

Insights

Market Research Analyst

The acquisition of Message Broadcast by OceanSound Partners, in collaboration with Energy Impact Partners, can be seen as a strategic move aimed at enhancing the company's market position within the utility communication software sector. The involvement of EIP, known for its focus on sustainable energy and infrastructure, suggests a commitment to innovation in a market that is increasingly influenced by distributed energy trends and regulatory pressures.

Considering the utility industry's need for reliable communication during emergencies, such as power outages, the demand for Message Broadcast's services is likely to grow. The company's ability to deliver automated communication workflows that comply with regulatory standards while reducing operating costs is a valuable proposition for utility companies striving to improve customer satisfaction.

The new CEO, Maulik Datanwala's track record in scaling enterprise software operations, indicates potential for operational improvements and market expansion. The emphasis on talent and technology investments under his leadership could further enhance the company's competitive edge and foster customer loyalty.

Financial Analyst

The financial implications of the acquisition center on the potential for accelerated growth and increased market share for Message Broadcast. The backing of OceanSound and EIP, along with their expertise and resources, could lead to new partnerships and acquisitions that diversify the company's offerings and drive revenue growth.

For investors, the key points of interest will be the company's post-acquisition performance metrics, such as customer retention rates, operational cost savings and the return on investment from the promised enhancements in product innovation and sales support. The extent to which these improvements translate into financial success will be critical in evaluating the acquisition's impact on the stock market.

Furthermore, the utility industry's ongoing transformation, with a focus on energy efficiency and customer engagement, positions Message Broadcast in a sector with strong growth prospects. This could make it an attractive asset for investors looking for exposure to innovative utility solutions.

Energy Sector Analyst

The acquisition's relevance to the energy sector stems from the increasing importance of customer engagement and communication in the utility industry. Message Broadcast's platform addresses a critical need for utilities to manage customer interactions effectively, especially during disruptive events like power outages.

With the energy sector facing challenges such as climate change-induced weather events and a shift towards distributed energy resources, the ability to communicate reliably with customers becomes increasingly crucial. Message Broadcast's technology enables utilities to maintain regulatory compliance and customer satisfaction, which are essential in an industry under close public and regulatory scrutiny.

The company's focus on automating communication workflows and providing scalable solutions aligns with the broader trend of digital transformation within the energy sector. This trend is likely to continue as utilities seek to modernize their operations and enhance customer experiences.

NEWPORT BEACH, Calif.--(BUSINESS WIRE)-- Message Broadcast (the “Company”), a leading provider of customer engagement software for the electric utility industry, today announced that OceanSound Partners (“OceanSound”), in partnership with Energy Impact Partners (“EIP”), has acquired the Company from LINK Mobility (OB:LINK). The acquisition enables the newly independent Message Broadcast to bolster product innovation, increase investment in sales and support resources, and deliver enhanced value to its customers. Maulik Datanwala has joined the Company as its Chief Executive Officer to lead these efforts.

Founded in 1998, Message Broadcast develops customer engagement software for utilities and other highly regulated industry sectors, including financial services, telecommunications, and healthcare. The Company’s platform automates communication workflows to increase customer satisfaction, decrease operating costs, and ensure regulatory compliance. Through its extensible APIs, modern architecture, and scalable infrastructure, Message Broadcast annually delivers billions of interactions for the world’s leading companies, including approximately 50% of the top 25 electric utilities in the U.S.

“We have followed Message Broadcast’s evolution for many years and have been impressed by its value proposition of modernizing customer experiences in the highly regulated utility industry,” said Ted Coons, Partner at OceanSound. “The Company’s software enables utilities to orchestrate, personalize, and deliver communications at scale and across several use cases, including outages, payments, and energy efficiency. Under our ownership, we anticipate pursuing new investments, partnerships, and acquisitions to create a differentiated and comprehensive platform for customer engagement and additional critical workflows.”

“Changing consumer expectations, weather events, regulatory pressure, and distributed energy trends have underscored how utilities engage their customers,” said Steven Kantowitz, Partner at EIP. “Message Broadcast addresses these increasing requirements with workflows that provide assurance during emergency power outages, which have immense public and regulatory scrutiny. EIP’s investment reflects our commitment to helping our strategic partners invest in innovation. We are excited to support the Company by combining EIP’s utility expertise with OceanSound’s operational capabilities.”

Datanwala joins Message Broadcast with over 25 years of experience scaling operations at enterprise software companies across several functions, including services, sales, and support. Previously, he was COO of Advantive, a specialty manufacturing and distribution software provider. Before joining Advantive, he served for seven years, most recently as COO, at PowerSchool (NYSE:PWSC), a provider of cloud-based software for K-12 education. Earlier in his career, he held progressive leadership roles at SumTotal and Siemens.

“We are delighted to welcome Maulik as the new CEO of Message Broadcast,” said Parin Shah, Principal at OceanSound. “His experience driving customer intimacy, optimizing business operations, and building culture makes him the ideal choice to lead Message Broadcast as it begins its new chapter as an independent company. We are excited to partner with Maulik and EIP and look forward to leveraging our relationships, resources, and expertise to scale and transform the Company.”

“I am honored to lead Message Broadcast and build upon its strong foundation of mission-critical solutions, extraordinary service, and customer-first philosophy,” said Datanwala. “Our customers are essential to our success and our top priority is to enhance their experiences through significant investments in talent and technology. As we embark on this next phase of growth, I am thrilled to work closely with OceanSound, EIP, and our talented team of employees to evolve our capabilities and better serve our customers.”

Skadden, Arps, Slate, Meagher & Flom LLP and Schjødt served as legal counsel to OceanSound. Kirkland & Ellis LLP and Reitler Kailas & Rosenblatt LLP served as legal counsel to EIP.

About Message Broadcast

Message Broadcast is a leading provider of customer engagement software for electric utilities and other highly regulated industry sectors. With decades of domain expertise, Message Broadcast helps shape customers experiences through its omnichannel communication platform. Our software solutions drive increased customer satisfaction, operational efficiency, self-service, and conversion across several communication channels and critical use cases, including power outages, payments, and energy efficiency. For more information, please visit www.messagebroadcast.com.

About OceanSound Partners

OceanSound Partners is a New York-based private equity firm that pursues control investments in technology and technology-enabled services companies serving government and enterprise end markets. OceanSound employs a partnership approach, working closely with founders, entrepreneurs, and executives of middle market businesses to drive transformational growth. For more information, please visit www.oceansoundpartners.com.

About Energy Impact Partners

Energy Impact Partners is a global investment firm investing in companies that are leading the transition to a sustainable future. EIP brings together entrepreneurs and some of the world’s most forward-looking energy and industrial companies to advance innovation. With over $4 billion in assets under management, EIP invests globally across venture, growth, private equity, credit, and infrastructure. For more information, please visit www.energyimpactpartners.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240410542458/en/

For OceanSound Partners and Message Broadcast

Alex Goss

Stanton

(203) 260-3985

agoss@stantonprm.com

For Energy Impact Partners

Dhana Warnecke

Energy Impact Partners

(929) 575-3443

warnecke@energyimpactpartners.com

Source: OceanSound Partners

FAQ

Who acquired Message Broadcast?

OceanSound Partners and Energy Impact Partners acquired Message Broadcast from LINK Mobility.

Who is the new CEO of Message Broadcast?

Maulik Datanwala has been appointed as the new CEO of Message Broadcast.

What sectors does Message Broadcast serve?

Message Broadcast serves utilities, financial services, telecommunications, and healthcare sectors.

What percentage of the top 25 U.S. electric utilities does Message Broadcast cater to?

Message Broadcast caters to approximately 50% of the top 25 U.S. electric utilities.

What are the key focus areas for Message Broadcast post-acquisition?

The key focus areas post-acquisition include bolstering product innovation, increasing investment in sales and support resources, and delivering enhanced value to customers.