Industrials M&A Update

RESOURCE HIGHLIGHTS

• In Q1, the S&P 500 Industrials Index decreased by 1.4%, but outperformed a 5.4% decrease in the S&P 500 over the same period.
• The median EV/EBITDA multiple for reported private equity deals increased to 11.4x in Q1 from 11.0x in 2024, and increased for strategic deals to 20.4x from 8.0x in the prior year.
• M&A deal volume in the Industrials sector decreased 6.4% in Q1 to 437 deals from 467 deals in Q4 of 2024, but increased 5.0% from 416 deals in Q1 of the prior year.
• As a % of total capital invested in M&A transactions, PE participation increased significantly in Q1 to 57.2% from 25.1% in 2024.
• Europe was the most active region in Q1 with 186 deals. Most notably in Europe was John Bean Technologies’ $3.9 billion acquisition of Marel, an Iceland-based provider of advanced food processing technology for the poultry, meat, and fish sectors, in January 2025.