Regional M&A Report – October 2023

 

A Summary Report of M&A Activity across the West Midlands

Report undertaken by The Corporate Finance Network in association with member firm BSN Associates Limited.

Summary of M&A Activity in the Region

The aim of this report is to inform and illustrate the reader on acquisitions, mergers and investment of businesses based in the West Midlands. The report focuses on deals that are of considerable value and therefore excludes deals involving smaller independent businesses with revenues below £500k.

 Deals by Year

  • In total there were 1,317 deals within the region from 2019 to September 2023.

  • 2020 was impacted by COVID however there has been a strong rebound in deal flow from 2021 onward.  

Deals by Quarter

  • Q1 2021 was the most active quarter following COVID.

  • Deal flow is now at pre-COVID levels however is slowing slightly however remains active.

  • Whilst 2023 does look to be heading for lower deal volumes, the West Midlands remains very active.

Number of deals by Quarter, Q1 2019 to Q3 2023

Deals by Type

  •  1,098 deals (83%) of the deals were acquisitions.

  •  A significant 201 deals were investor-led including growth capital transactions backed by private equity firms

  • 18 of the deals were mergers.

Deals by Type, 2019 to Q3 2023

Deals by Sector

  • Analysing the 1,317 deals, we have categorised each target (acquired, investee) company by sector to understand which industries have been the most active.

  • Manufacturing, IT, Software & Telecoms, Healthcare and Professional Services collectively account for 50.2% of all deals within the West Midlands.

Target & Investee companies by Sector

 Serial Acquirers

  • During this period, some companies have made multiple acquisitions within the West Midlands.

  • Some of the most active sectors are insurance brokerage, veterinary services and childcare services which are key themes seen across the United Kingdom.

If you’d like to learn more about M&A activity within your sector, please reach out to Phil Todd, Corporate Finance Manager at BSN Associates: phil.todd@bsnassociates.co.uk

Mandy Ellson