The report below gives a good overview of the fourth 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 Q3 2019 included 849 closed deals, according to data published by industry data tracker FactSet.
One of the notable middle market transactions in the sector was announced in August when Perspecta, Inc. acquired Knight Point Systems LLC for US$250 million, subject to price adjustments. The acquisition further enhances Perspecta’s offerings in cloud, cyber, digital transformation and enterprise IT. Knight Point Systems is located in Reston, Virginia and provides information technology consulting services.
- US corporate profits, an indicator of demand for accounting services, rose 2.7% in the second quarter of 2019 compared to the same period in 2018.
- US personal income, which drives consumer demand of accounting services, rose 4.6% in August 2019 compared to the same month in 2018.
- Total US revenue for accounting, tax preparation, bookkeeping, and payroll services rose 1.8% in the second quarter of 2019 compared to the previous year.
Posted by Brad Purifoy.