Industrials M&A Update
- The Industrials sector index declined 5.6% during Q3 and was outperformed by the S&P 500 index, which declined 3.8% over the same period.
- The median EV/EBITDA multiple in the Industrials sector for reported strategic deals decreased to 9.5x in YTD 2023 from 14.2x in 2022. The median EV/EBITDA for reported Private Equity deals decreased to 9.3x in YTD 2023 from 10.0x in 2022.
- M&A deal volume in the Industrials sector decreased 3.4% in Q3 to 423 completed transactions from 438 in Q2 and decreased 15.7% from 502 deals in Q3 of the prior year.
- As a % of total capital invested in M&A transactions in YTD 2023, private equity participation increased to 39.3%, up from 36.7% in 2022.
- Europe was the most active region in Q3 with 169 deals. Most notable in the European market was Carrier Global’s $12.0B investment in Viessmann Climate Solutions in July 2023.