New media M&A & investment roundup

Digital media continues to thrive when it comes to financings, despite the global economic downturn. . New York-based Peachtree Media Advisors has released its annual report outlining mergers, acquisitions and capital raised by the online sector in 2008. Some key points of interest:

• The online media sector raised $3.5 billion USD in venture capital in 2008, a 22% increase over the $2.9 billion in capital raised in 2007.
• The “enabling” sector saw the largest increase in capital raised, up 124% with $892 million in 2008.
• The mobile sector also saw big gains in investment capital, with $341 million – a whopping 488% increase over the $58 million raised by the mobile sector in 2007.
• The top five sectors in terms of transaction volume (not reported deal value) for equity raises in 2008 were:
  • Video & Online Games – 59 capital raise transactions;
  • Social Networking – 57 capital raise transactions;
  • Web Applications/Enabling/IT – 47 capital raise transactions;
  • Mobile – 35 capital raise transactions; and
  • Blogging/User Generated – 27 capital raise transactions.

Read the report, available as a PDF download.