M&A, PRIVATE EQUITY & INDUSTRY UPDATES

YTD 2021 North American M&A continued its steady climb with ~4,000 transactions, valued at ~$700B. H2 2021 PE M&A deal volume fell by 11% YoY and deal value fell by 8% YoY. Median revenue multiple rose to 4.9x YoY and the median EBITDA multiple rose slightly to 22.3x. M&A has benefited from continued economic recovery, strong stock prices, and ample capital. Labor shortages, supply chain concerns, and increasing inflation may slow a recovery and M&A. Industries with the most M&A activity are; information technology, healthcare, and financial services, specifically cryptocurrencies. Energy, mining and resource companies have seen commodity prices rise and are using mergers and acquisitions to achieve environmental, social, and governance transformations.

Growing worries about the Delta variant, inflation, resistant multiples and talk of increased capital gains tax rates may entice sellers who were once on the fence to sell.

New Tools and Lists. 2021 Industry Prioritization, a Proforma and Growth Forecast Template and company lists.