𝗠𝗮𝗿𝗸𝘁𝗹𝗶𝗻𝗸’s Post

Business Services M&A has been extremely active during the last 24 months and Lexington has delivered some exceptional results for its clients in that time. We have distilled this activity down into some key market themes, transactions and strategic insights that are currently shaping the UK Business Services industry. We have presented this information in our first quarterly Business Services M&A report, and provides a further market report alongside the Tech & IT M&A report produced by the Lexington Tech & IT sector team. The report offers valuable insights and explores the trends that have influenced deal volumes in 2023 and continue to shape trends in Q1 2024 and beyond. Our subsector spotlight for the quarter was the TICC sector, which continues to be a hotspot for M&A activity. The subsector has been a key focus for both Private Equity investors and strategic trade players over the period, as the industry continues to experience significant growth driven by increasing regulatory requirements and mandated testing. We provide analysis on 2023 as a whole and Q1 2024, assessing how each subsector in the Business Services sector has performed and provides key details on recent M&A transactions, including deal values, key market players, and underlying M&A strategies. Our analysis also looks at projections and trends that will likely influence future M&A activity in the Business Services sector and includes sector insights from Rockpool Investments, after their recent investment in Realise Energy Services. If you are considering embarking on a growth journey, want to exit your business or would like to learn more about the services Lexington provides, please do not hesitate to get in touch and we would be more than happy to discuss this further with you. #businessservices #mergersandacquisition #2023 #q1 #2024 #corporatefinance

Expanding our international footprint 🌎 This week, we shared news of our expansion into the US market. Following this update, we have received significant media coverage within both local and regional outlets sharing an insight into the strategy that has led to this decision. Within this release our Managing Director, Jake Webster, shares how establishing an office in Manhattan marks a significant milestone in the company’s expansion strategy, and how the company will continue to create access to our offering for clients globally as we continue to expand our operations. If you would like to learn more about our US expansion or our company’s strategy, read the full article here 👇 https://lnkd.in/dNmGB6yE #expansion #usmarkets #opportunities #initiatives

The Global M&A Report by Bain & Company and the commentary by Hunt Scanlon Ventures tracks with the insights shared at the Markets Group PE Summit in Boston in November, that we summarized here: https://lnkd.in/dvcdXWtQ Let's go 2024!

🔑 In times of uncertainty, Strategic Buyers future-proof their businesses through M&A   While uncertainty continues to creep into the economy, not least with a looming general election in the UK (applicable to half the world’s population!), Strategic Buyers might be more interested than ever in a conversation regarding the purchase of your business.   The right type of acquisition strategy helps Strategic Buyers navigate the challenges of a tougher market as well as capitalise on the opportunities it will bring forward.   💡 According to a recent PwC survey, 63% of business owners acknowledge the need for coordinated strategic change within the next three years, with 56% identifying M&A as the most effective strategy for adapting to industry changes and securing business viability.   💡 The current technology advancements, sustainability demand and need for "future-ready" skills are fueling the demand for dynamic and entrepreneurial businesses, that the Buyers can use to reposition and stay responsive to demand and competitive in their respective spaces.   💡 Strategic transactions allow larger companies to quickly acquire new capabilities, expand product lines, enhance geographic reach, adopt cutting-edge technologies, and improve sustainability practices. This agility is crucial for keeping pace with industry shifts and meeting strategic objectives.   Are you ready for the knock on your business door?   At Vivero, we work closely with businesses to identify opportunities for innovation and growth, simplify the complexities of funding, and provide access to our extensive investor and buyer network, guiding you in realising the true equity value of your business.   https://lnkd.in/emws9tdw   #MergersAndAcquisitions #FutureProof #BusinessGrowth

🔑 In times of uncertainty, Strategic Buyers future-proof their businesses through M&A   While uncertainty continues to creep into the economy, not least with a looming general election in the UK (applicable to half the world’s population!), Strategic Buyers might be more interested than ever in a conversation regarding the purchase of your business.   The right type of acquisition strategy helps Strategic Buyers navigate the challenges of a tougher market as well as capitalise on the opportunities it will bring forward.   💡 According to a recent PwC survey, 63% of business owners acknowledge the need for coordinated strategic change within the next three years, with 56% identifying M&A as the most effective strategy for adapting to industry changes and securing business viability.   💡 The current technology advancements, sustainability demand and need for "future-ready" skills are fueling the demand for dynamic and entrepreneurial businesses, that the Buyers can use to reposition and stay responsive to demand and competitive in their respective spaces.   💡 Strategic transactions allow larger companies to quickly acquire new capabilities, expand product lines, enhance geographic reach, adopt cutting-edge technologies, and improve sustainability practices. This agility is crucial for keeping pace with industry shifts and meeting strategic objectives.   Are you ready for the knock on your business door?   At Vivero, we work closely with businesses to identify opportunities for innovation and growth, simplify the complexities of funding, and provide access to our extensive investor and buyer network, guiding you in realising the true equity value of your business.   https://lnkd.in/eBcmwSyi   #MergersAndAcquisitions #FutureProof #BusinessGrowth

The M&A market has always operated in a boom/bust cycle of #expansion and #contraction. And the last couple of years have been no exception. According to Bain & Company’s latest Global M&A Report, rising interest rates among other factors represented a significant obstacle for dealmakers. But the biggest hurdle according to the consultancy was the #valuation gap between what buyers wanted to spend and what sellers wanted to charge for their companies. That rift kept many would-be deals from happening. Read more >> https://lnkd.in/eP_AcSNH

Despite the current macroeconomic headwinds, according to our recent survey of active participants in the Australian SME M&A market, 2024 is set to return another strong year of deal volume and pricing. Our latest Dealmakers report provides some interesting insights from those at the coalface.

Here's some quick highlights from our understanding of mid market M&A deal outlook. There's an upcoming webinar that will provide more detail and an opportunity to ask questions and be part of the conversation.

M&A deal activity rose five to 10% year-over-year in Q1, despite falling short of Q4 2023 totals, according to new data released by PitchBook. Deal multiples have remained stable, meanwhile – “a sign that the valuation reset may be complete, and have room to move higher to catch up with elevated prices of public companies,” said the market research firm. Global M&A had declined for two years straight heading into 2024. According to PitchBook, M&A has almost always bounced back from consecutive annual declines, and researchers at the company do not think this year will be any exception. Cody Crook, managing director of Hunt Scanlon Ventures, unpacks what it all means for human capital M&A activity. Read more >> https://lnkd.in/eHa6wqMw

Deal in Focus: Main Capital Partners exits Assessio to Pollen Street Capital The transaction sees the sell-side GP return its investment “multiple times” over, Main partner Wessel Ploegmakers tells Real Deals #RealDeals #PrivateEquity #Exit #BusinessServices