4 days ago
Tech Update: Business leaders go on a shopping spree in Q2
After months of subdued activity, mergers and acquisitions (M&A) are on the rise.
According to recent insights from global market analysts LSEG Data and Analytics, the second quarter of 2025 saw close to US$82 billion in activity in Canada.
Interestingly, while the total value of takeovers in Q2 2025 was 84 per cent higher than the same period last year, fewer deals were made: LSEG counted just 593 deals compared to 825 deals in Q2 2024.
These numbers may be heartening for those concerned about keeping Canadian companies in Canada. At Toronto Tech Week, a panel of leaders from Shopify, Cohere and Wealthsimple emphasized the power of rejecting foreign acquisitions and focusing on domestic deals for more sustainable company growth.
Indeed, one of the best ways for Canadian companies to grow is to buy another.
Toronto-based software company Security Compass recently added Devici, a North Carolina startup specializing in AI threat modelling, to its portfolio as part of its strategic growth plan.
As CEO Rohit Sethi explains, one of his company's key offerings, SD Elements, is like a blueprint that shows software developers which security requirements they need to integrate.
But, Sethi notes, there was a gap in that platform's capabilities. Security Compass wanted to provide a service that would help clients understand different ways attackers might break into their systems.
While it's possible to build in-house, Sethi says it can be more effective — and far more efficient — to acquire a pre-existing program that's already trusted by customers.
