The IP software company leveraged Marks Baughan’s IP industry expertise and high-touch advisory approach for both sell-side and buy-side transactions to broaden market presence and drive revenue.
Questel, a global leader in intellectual property (IP) management software, has been one of the most aggressive strategic acquirers in the IP space. It has acquired and integrated advanced technologies to provide an end-to-end IP management platform as well as services throughout the IP lifecycle. Having expanded its breadth beyond a patent core and into trademarks and brands, today, the company serves more than 20,000 clients across 30 countries.
Since 2017, Questel has looked to Marks Baughan, an investment banking firm specializing in the IP and legal technology markets, for strategic guidance on transactions. Two of the company’s most advantageous acquisitions occurred with Marks Baughan at the table, and Questel’s leaders continue to value the investment bank for its unmatched expertise in the IP space and its uncompromising integrity.
Here’s how Questel made two savvy acquisitions that increased its prowess in the IP technology world — both with Marks Baughan at the table.
Questel Buys ITIP — a Smart, Subtle Move
During Questel’s acquisition of ITIP, Questel COO Miguel Iglesias sat on the other side of the table from Marks Baughan, who advised ITIP on the sale. ITIP’s cost management innovations enabled large companies to discover significant savings in prosecution costs. These offerings were a natural fit with Questel’s Intellectual Asset Management software solution — helping it become a leader in international filing. But this perfect pair was not so obvious at first.
“Marks Baughan did right by their client in targeting us as a buyer,” Iglesias said. “We were not an obvious choice. They clearly listened to their client and sought out a buyer who not only had an appetite for the purchase but who would retain what [ITIP] had built after the acquisition. It was smart of them to reach out to us,” he added.
During the deal, Marks Baughan maintained transparency with Questel — ensuring both sides felt confident in the transaction’s progression. “We got good communication through the process, answers to all our questions, and quick access to data and management whenever we needed it,” said Iglesias.
Questel walked away from the transaction with a newly expanded footprint in the IP software market, poised to grow its customer base and drive revenue with ITIP’s complementary innovations. ITIP enjoyed a profitable return.
Iglesias watched Marks Baughan closely during this transaction — taking note of how the firm treated its client, applied its extensive expertise in IP, and advocated for ITIP’s best possible outcome. When it came time for Questel to seek a banker for its acquisition of Morningside, he had Marks Baughan in mind.
Questel Leverages Marks Baughan for Critical Market Intelligence and Strategic Negotiation Advice in the Acquisition of Morningside
“We knew we wanted Marks Baughan on our side,” said Iglesias of his choice when Questel sought to buy Morningside. “We chose them for several reasons. First, we respect them as bankers. They have very good ethics, and they built credibility with us, even when we were on the other side of the table. Second, their deep knowledge of IP is important to us” he added.
Purchasing Morningside was a strategic move for Questel. Throughout the process, Marks Baughan provided Questel critical market intelligence and advised on a bidding and negotiating strategy that enabled Questel to win the auction and avoid overly aggressive bidding.
“The brainstorming and strategic advice Marks Baughan presented on how to approach the deal were essential,” said Iglesias. “It was also helpful to have them represent us at critical junctures throughout the deal to advocate for our best interests,” he added.
Questel Taps Marks Baughan for Exclusive IP Market Intel and Ongoing M&A Input
The success of both transactions cemented Questel’s trust in Marks Baughan, and the company continues to leverage the firm’s IP expertise and market intelligence for strategic decision-making.
“Their willingness and ability to foster an ongoing relationship with us is one of the reasons Marks Baughan is unique,” said Iglesias. “Very often with bankers, you do a deal and you’re done. You never hear from that person again. Marks Baughan stays in touch and takes the time to engage with us on a continued basis,” he added.
Questel regularly seeks intel from Marks Baughan on activity in the IP tech market — using that information and context to strategize for the short and long term, explore new acquisition opportunities, and gain a competitive advantage.
“Questel has done more than 30 acquisitions through the years, so we have dealt with a lot of bankers,” said Iglesias. “I appreciate that Marks Baughan gives us personal treatment, and they approach everything with a transparent, straightforward touch. They get straight to the point, which I love. For me, it’s a relief,” he added.
Marks Baughan is a global investment banking firm specializing in legal and compliance. We have completed +125 transactions with an aggregate value of +$10 billion. Get in touch with us here.