Industrials M&A Update

RESOURCE HIGHLIGHTS

• In Q2, the S&P 500 Industrials Index increased by 10.2% and outperformed a 10.1% increase in the S&P 500 over the same period.
• The median EV/EBITDA multiple for reported private equity deals decreased to 9.6x through 1H 2025 from 11.0x in 2024, and increased for strategic deals to 14.7x from 8.0x in the prior year.
• M&A deal volume in the Industrials sector increased 1.1% in Q2 to 442 deals from 437 deals in Q1, and increased 8.1% from 409 deals in Q2 of the prior year.
• As a % of total capital invested in M&A transactions, PE participation increased in 1H to 42.1% from 25.1% in 2024.
• Europe was the most active region in Q2 with 194 deals. Most notably in Europe was Azimut Libera Impresa’s $118.0 million acquisition of Mech-I-Tronic, a provider of mechatronic solutions to deliver customized automation systems, in May 2025.