Fall 2024 M&A Update
The tale of the tape in middle market M&A activity in the second quarter proved similar to that of the first quarter, though reported multiples for PE deals generally improved in the second quarter. As mentioned in our last update, M&A activity declined substantially in the first quarter of 2023, and total deal value and volume has remained muted since then, a trend that continued into the second quarter of 2024. The economy has shown continued resilience, posting GDP growth of 2.8% in the second quarter (up from 1.4% in the first quarter). Inflation has continued to trend toward target levels, allowing for the 50 basis point rate cut recently announced by the Fed. There has been some (albeit, minimal) improvement in deal activity in the past four quarters. Ample amounts of capital remain held by private equity funds and strategic buyers, and while deal activity remained relatively static in the second quarter 2024, many factors point to a recovery in the M&A market during late 2024 or early 2025.
FEATURE ARTICLE
Three Considerations Before You Sell Your Business
Also in This Issue
U.S. Deal Value & Volume
EBITDA Multiples
EBITDA Multiples by Buyer Type
U.S. Deal Volume by Industry
Debt Multiples
Number of Deals by Buyer Type