M&A Quarterly News In The Business Services Industry Sector

M&A Quarterly News In The Business Services Industry Sector

By Brad Purifoy

August 27, 2019

The report below gives a good overview of the third quarter M&A activity in the Business Services Industry Sector. M&A activity for North American based target companies in the Business Services sector for Q2 2019 included 303 closed deals, according to data published by industry data tracker FactSet.

One of the notable middle market transactions in the sector closed in May when RLDatix, a portfolio company of Five Arrows Managers SAS and TA Associates Management LP, acquired iContracts, Inc., a portfolio company of Susquehanna Growth Equity LLC, for an undisclosed amount. The transaction was reported to be valued at US$200 million. iContracts provides contract management solutions. Its offers revenue, contract, policy, time and claims management solutions. Its services include professional, educational, customer support and outsourcing services.

Industry Indicators

  • US corporate profits, an indicator of corporate demand for business services, rose 3.1% in the first quarter of 2019 compared to the same period in 2018.
  • The value of US nonresidential construction spending, a driver for business services demand, rose 5.7% year-to-date in May 2019 compared to the same period in 2018.
  • Total US revenue for administration and support and waste management and remediation services rose 6.4% in the first quarter of 2019 compared to the previous year.

Posted by Brad Purifoy.

Read the Entire Business Services 3rd Quarter Newsletter Here