2013 Q3 – Construction Update
Financial Advisory Services newsletter
While the European Construction M&A deal volume dropped by 6.0% in 2012 compared to 2011, deal volume in the first 3 quarters of 2013 shows an upward trend. Compared to the same period in 2012, the deal volume in Q1-Q3’13 went up by 7.5%. Furthermore, the number of transactions has been increasing since Q1’13. However the deal size shows a downward trend in 2013.
This quarter’s highlights
In this edition of the Construction Update we learn that:
- 186 transactions were announced during the first three quarters of 2013, compared to 173 in 2012, an increase by 7.5%;
- 42 private equity backed transactions (either as a buyer or as a seller) were announced during Q1-Q3’13 compared to 61 in 2012;
- For the transactions for which the deal size has been disclosed, the average enterprise value during Q1-Q3’13 amounted to €859m against €1,360m in 2012;
- The median EV/EBITDA transaction multiples declined from 8.9 in 2012 to 7.6 in Q1-Q3’13, which is closer to the longer term average, excluding the exceptionally low 2011 multiples.
Download the Construction Update for more information.
About this newsletter
The Deloitte Financial Advisory Services newsletter is a periodic compilation of certain completed and announced merger and acquisition activities. Each edition highlights industry and general economy trends, key data on deals announced in the latest quarter, and trends in transaction and market multiples.