Victory Square to purchase 20% of Multapplied Networks
Victory Square Technologies announced it signed a letter of intent to purchase 20% of software-defined wide-area networking (SD-WAN) blockchain company Multapplied Networks (MNI). The company said it would acquire 20% of all issued and outstanding securities in MNI in exchange for cash and other considerations to be determined upon execution of a definitive agreement.
SD-WAN is a way of applying the principles of software-defined networking (SDN) to WAN connections, which keep networks connected. Dating back to the early 90s, the SD-WAN market has undergone an exponential boom with the rise of the cloud and web connected devices. Research firm IDC estimates worldwide SD-WAN infrastructure and services revenues will see a compound annual growth rate (CAGR) of 69.6% and reach $8.05 billion in 2021.
Victory Square said it recognized SD-WAN as a disruptive technology in enterprise networking due to the acquisition of competitors within the market. For example, back in August, Cisco completed its $610 million acquisition of privately held SD-WAN company Viptela. Then in November, VMware announced it intended to purchase SD-WAN vendor VeloCloud, deepening the company’s rivalry with Cisco.
“This acquisition exemplifies Victory Square’s mandate to continue investing in companies with game-changing potential that are redefining the industries in which they operate,“ said Victory Square’s CEO, Shafin Diamond. “We believe in MNI’s vision of a global decentralized Internet and look forward to continuing to find synergies between their networking capabilities and all of our portfolio companies,” continued Tejani. “We are confident that a strategic implementation of blockchain technology into MNI’s platform will allow MNI to build upon its impressive global network of service provider clients.”
As part of the agreement, MNI will focus on using its proprietary software to facilitate a global decentralized internet. Additionally, MNI will work in consultation with Victory Square portfolio company Blockchain Assembly to raise funds for the development and implementation of its blockchain platform by performing a Token Generation Event, according to the company.
“Victory Square has a stellar track record of rapidly growing and scaling businesses into impactful global market leaders,” said Johan Arnet, CEO of Multapplied Networks. “Our vision of enabling a global decentralized private Internet is nearing fruition and we require a dynamic partner with whom to properly grow and deploy this technology. Victory Square is that partner.”
