Articles

Innovation and the Future of Stroke Rehabilitation

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In this article, in addition to discussing biopharmaceutical developments of interest to the market, we will review some recent stroke rehabilitation strategies as well as the current definition of stroke symptoms and risk factors. Stroke Rehabilitation and Related Developments Stroke rehabilitation and recovery continue to be an area of innovation and intense discussion. The National… Read more »

What Middle-Market CEOs Need to Know Now: Part 2

Jonathan Wilfong on CEO Exclusive Radio

Q: What does it mean to be a “platform company?” Should a business owner aspire to be a platform company?

WILFONG: First, a business owner needs to develop his company with a good management team, a good customer base, and all those things that comprise a successful company. At that point, the business owner is not really thinking about whether the company is going to be a platform for a portfolio and for add-ons.

What Middle-Market CEOs Need to Know Now: Part 1

Jonathan Wilfong on CEO Exclusive Radio

Q: In 2015, we heard a lot about how favorable the market was for acquisitions. What’s happening with deals in investment banking now?

WILFONG: Indeed, 2015 was a very robust year for deals in the lower middle-market space which FOCUS defines as companies that do up to 250 million in revenue. This activity was driven by a couple of factors…

What Will Drive Dealmaking in 2016?

Business target 2016

As demonstrated by 2015 results, FOCUS believes US M&A is booming and also is likely to continue delivering record-breaking results into 2016. A new report, “US M&A H1 2015: Riding High,” released by MergerMarket, supports this conclusion: “US M&A is on pace to post its best performance since 2007… The US economy is stable and… Read more »

FOCUS: Consolidation in 4,000-outlet paint jobber industry echoes auto body trends

painting auto car

The heavy consolidation trend in the collision repair industry continues to be mirrored in the 4,000-outlet, $4 billion paint refinish distribution segment, a new FOCUS Investment Banking report notes.

“There are multiple buyers, many willing sellers, cheap capital and attractive prices,” FOCUS Managing Director David Roberts wrote in a recent study.

Large M&A Sellers Consistently Get Higher Prices than Small Sellers

2015 FactSet statistics show that large M&A transactions had higher value multiples than small deals—and the premium is about 30 percent. Median EV/EBITDA multiples for deals exceeding $250 million approximated 12.4x, while the ratio for middle-market transactions was 9.5x. This phenomenon of higher multiples for larger deals has been persistent over time. Deal Size—EV/EBITDA Ratio… Read more »

2015 M&A May Pass Records Set in 2000

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A whirlwind of wheeling and dealing continues to drive mergers and acquisitions through the third quarter. According to Thomson Reuters, this is the best year for M&A since before the financial crisis. Global M&A activity has risen 38% year-over-year to $2.18 trillion through the first half of 2015.

InvestorPlace reports that “The third quarter was awash in big deals…A great chunk of that deal activity came from U.S. companies, as mergers and acquisitions rose 60% to $987.7 billion. For banking and legal advisers, business hasn’t been this brisk in the first half of a year since 1980…make no mistake — the market loves M&A. A flurry of deal activity signals that companies have confidence in the economy and stock market.”

Strategic or Financial: Which Buyer Pays More?

When it comes time to sell the company you’ve worked hard to build, it’s crucial to understand the selling process—especially the types of buyers you might be meeting. Potential buyers fall into two main categories: financial and strategic. Financial buyers acquire a company primarily for financial return. They place a large emphasis on characteristics including… Read more »