Business Process Outsourcing M&A Update
- M&A deal volume was up 53.8% to 100 completed transactions in Q4 2021 from 65 deals in the same period of the prior year, representing the highest quarterly volume Pitchbook has on record since 1965.
- Through Q4 2021, Strategic buyers accounted for 23.2% of deal volume vs PE investors with 76.8%.
- Despite fewer transactions, strategic buyers accounted for 78.9% of total capital invested in the BPO sector in 2021.
- North America was the most active region in Q4 followed by Europe.
- The EV/Revenue multiple trended higher in Q4 2021 from Q3 levels.