The latest fluid handling industry mergers & acquisitions report.
11/12/2019
Here are the third quarter (Q3) highlights:
The deal activity in the industry has been strong with 56 announced transactions through the third quarter. This is the highest level of activity in the last four years and has been increasing sequentially since the fourth quarter (Q4) of 2018. Key Factors Strategic realignments, expanding geographic footprint and channel integration are among the key factors driving deal activity. Valuations The year-to-date 2019 valuations remain very deal specific but at a high level. The disclosed transaction valuations remain strong with year-to-date Q3 median enterprise value/earnings before interest,taxes, depreciation and amortization (EV/EBITDA) multiple of 10.8 versus the full year 2018 multiple of 8.6. The median EV/revenue multiple year-to-date Q3 2019 is 1.33 versus 1.32 for the full year 2018. Demand remains strong for quality acquisitions with a continuation of favorable merger and acquisition conditions:- competition for deals
- low cost of debt
- positive long-term outlook