Industrials M&A Update
- The Industrials sector index increased 3.9% in Q2 but underperformed the S&P 500 index, which increased 6.1% over the same period.
- The median EV/EBITDA multiple in the Industrials sector for reported strategic deals decreased to 6.6x in 1H 2023 from 14.2x in 2022. There were no reported multiples for private equity deals in 1H.
- M&A deal volume in the Industrials sector decreased 13.1% in Q2 to 438 completed transactions from 504 in Q1 and decreased 10.4% from 489 deals in Q2 of the prior year.
- As a % of total capital invested in M&A transactions in 1H 2023, private equity participation decreased to 29.8%, down from 36.7% in 2022.
- Europe was the most active region in Q2 with 206 deals. Most notable in Europe was Aliaxis’ $2.1 Billion investment in Uponor, a provider of plumbing and indoor climate solutions, in May 2023