Exit and Growth Strategies for Middle Market Businesses

Archive for the ‘Industrials’ Category

Q3 Industrials Industry Update

By Kim Levin | Sep 19, 2014

latheM&A activity for North American based industrial target companies in Q2 2014 included 517 closed deals and total deal value of $10.3 billion, according to data provided by S&P Capital IQ. According to a report from, President & CEO Magazine, a business trade magazine, M&A activity surged in the second quarter with the industrial sector on track to post the strongest year of M&A since before the 2008 financial crisis.  

According to a report from PricewaterhouseCoopers, an international consulting firm, the industrial sector saw a 72% increase in transaction announcements over Q1. Several mega-deals were announced, and although some were withdrawn, it indicates that the market has grown and is actively looking to consolidate. According to the report industrial manufacturers will continue to search for growth in non-core businesses with strong leadership and an existing competitive advantage.

Read the Entire Industrials M&A 3rd Quarter Newsletter Here

Q2 Industrials Mergers & Acquisitions Update

By Kim Levin | May 23, 2014

Ind. FactoryM&A activity in the Industrials sector for North American based target companies in Q1 2014 included 549 closed deals according to data provided by S&P Capital IQ. Activity was largely driven by the successful completion of several mega deals, or transactions worth more than $1 billion, according to published by consulting firm PwC US. According to PwC, strategic buyers continued to be the most active buyers, accounting for more than 80 percent of total deal activity. However, financial buyers remain active in the space as their limited partners put pressure on them to put capital to work.

Read the Entire Industrials M&A 2nd Quarter Newsletter Here

Industrials Q1 M&A Update

By Catherine Patience | Mar 28, 2014

Car ManufacturingM&A activity in the North American Industrials sector for Q4 2013 through February 10, 2014 included 946 deals announced or closed according to data provided by S&P Capital IQ. Strong momentum in the period is projected to continue into 2014 according to data published by international consulting firm PriceWaterHouseCoopers. In a sector as broad and imperative to the economy as industrials, improving macroeconomic trends and fundamentals are an indicator of the level of M&A activity. Average debt to EBITDA multiples continue to steadily increase, reaching 4.5x as of November 2013, according to S&P Capital IQ. This, in addition to the availability of cash with attractive terms, provides strategic and private equity buyers with numerous opportunities to recapitalize balance sheets and pursue liquidity events, which drives M&A activity and increases valuations.

Read the Entire Industrials 1st Quarter Newsletter Here

Industrials M&A Activity Update

By Catherine Patience | Jan 17, 2014

hand-holding-industry-cubes-10079762M&A activity in the Industrials sector for Q3 2013 was active with 499 deals under $1 billion announced or closed. This sector includes manufacturers, refiners and energy producers. Overall financial stability across all industries coupled with increasing access to capital for middle market industrials companies has spurned significant growth in the sector, which has led to the uptick in M&A activity. Without a significant change in the fundamentals of the economy there is no reason for this trend not to continue.




Read the Entire Industrials 4th Quarter Newsletter Here

Industrials M&A Activity Update

By Catherine Patience | Oct 22, 2013

Industry on misty nightAccording to data published by PwC US, financial investors in the industrial manufacturing space renewed their M&A appetites in 2013, increasing deal activity by approximately 40 percent year over year. Strategic investors continued to close the most transactions, but the rise in activity by financial investors is a signal that dry powder sitting on the sidelines for so long is finally getting to work. The majority of deals in 2013 have fallen into the middle market category (transactions worth $50 million to $250 million) with North American companies being the most active.

Read the Entire Industrials 3rd Quarter Newsletter Here

Selling a Middle-Market Manufacturing Business?

By Kim Levin | Jul 27, 2011

What You Need to Know Now

The hour that I spent listening to an overview of the Manufacturing Industry M&A Market Monday morning was time well spent.  More than anything it confirms what I already knew to be true…even looking at a very narrow sector of the market…times, they are improving…albeit slowly.  Morgan Burns of Faegre & Benson, Michael Dillahunt of Piper Jaffrey, Mike Israel, Mill City Capital and Bob McGrath of H.B. Fuller & Company joined forces to discuss the current state of M&A in the manufacturing sector, each bringing a different expertise to the panel.  If you didn’t have time to listen, but still want to know what was said, read on. Read more »