Articles

The Verdict at Six Months: “Slow but Steady Sets the Pace”

For the balance of 2016, three broad factors are likely to influence M&A activity: politics (no surprise there), tech deal traffic (good news there), and the continued abundance of available capital (money on the table). A new study by the international law firm White & Case—Slow but Steady: US M&A H1 2016—concludes that despite a… Read more »

Mid-Year, Middle Market M&A May Be on Track to Deliver Rare Opportunities

Mid-Year, Middle Market M&A May Be on Track to Deliver Rare Opportunities

The current year is full of firsts. In addition to the rare strawberry moon marking 2016’s summer solstice, the “Brexit bounce” reverberating across U.S. markets, and unprecedented political uncertainty, an impressive number of authoritative sources envision a positive, active M&A market during the second half of the year. “M&A will continue to thrive, despite the… Read more »

Five Steps to Crossborder Deal Success*

The global economic outlook for 2016 and beyond is highly uncertain. With Q1 deal volume off to a slow start this year, it would seem the various economic and political headwinds have made investors wary about aggressively pursuing cross-border deals in the very short term. However, the general sentiment shows that support for inorganic growth… Read more »

Innovation and the Future of Stroke Rehabilitation

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?

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

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 »