We’ve closed the books on the first-half of 2017. Well…what happened?

More than 3,500 transactions traded since the first of the year. January was the busiest month, with nearly 20% of deals closing in it (albeit many of those transactions may have traded before year-end, but delayed announcement until January). This is followed by March closing 18% of deals, February and May closing 16%, and finally, April and June closing 15% of deals in the first-half of the year. As planning for the second-half of the year commences, let’s review the 3,500+ transactions that have traded in more detail.

Sectors

Reviewing the high-level sector groupings, IT (750), Services (749), Healthcare (562), Industrial (509), and Financials (484) have been the most active this year. What’s even more interesting, however, are the top fifteen sub-sectors detailed below. IT: Software & Services is stealing the show this year, with nearly 12% of deals trading in this sector, followed by 9% in the Industrial: Equipment & Products sub-sector.

Subsector 1H 2017

Regions

Looking across North America, Pacific West (530), Mid Atlantic (523), and Great Lakes (486) were the most active regions for this period. Reviewing this by location, New York was the most active city with more than 150 deals traded, followed by San Francisco with 97 deals, and Houston with 57 deals closed. The chart below shows the top ten cities.Deal location 1H 2017

Transaction value range

Finally, the chart below breaks out the deals completed by transaction value range. Not surprising, most deals closed in the $10 – $49 MM range, followed by $50 – $249, $500+, and finally, $250 – $499. In terms of the type of deals that were closed, nearly 60% of the transactions were Buyouts and 30% were Add-ons, with the remainder falling into minority investments and recaps. Moreover, 55% of deals were completed by a corporate investor, and 45% closed to an equity investor (including add-ons).

In comparison to the first-half of 2016, the first-half of this year has experienced a similar trajectory, with minor (not transformative) changes.1H 2017 Transaction size range

 

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