M&A transactions continued to lag in 2023, as the number of deals represented just half of 2022 totals, according to data provided by Refinitiv. Despite technology and healthcare deals leading the charge in February, deal values and volume continue to show a sharp decline in comparison to the previous year.
In breaking down the year-over-year data from the start of 2023 through the end of February, there were 27 technology deals for a total of $7.5 billion in value. To put it in context, the sector saw 89 deals for a total value of $23.2B in the same time period in 2022. The largest tech deal in the month of February was CSP Fund II LP’s $700 million purchase of Relevance Lab Inc.
In the same time period, Healthcare saw 21 deals for a total deal value of $5.4 billion; this shows a decline from 37 deals for a value of $9.5 billion in 2022. Notable deals within the healthcare sector include BGP Acquisition Corp.’s $430 million deal for Natively LLC and Imara Inc.’s $324 million acquisition of Enliven Therapeutics Inc.
Financials, industrials and energy were the only other sectors that saw a double-digit number of deals in the month of February. However, energy represents the only double-digit sector of the month that was able to match its 2022 deal total of 15. While energy is notable for matching its deal volume, the deal value of $4.9 billion for 2023 still shows a steep decline from the same time last year at a value of $7.7 billion.
Now turning attention towards league tables, Goldman Sachs remains in the top spot, which it held for the month of January as well, advising on 10 deals for a value of $3.858 billion and a 10.6 percent hold on market share. Just behind Goldman for a second month in a row is Piper Sandler which actually advised on eleven deals totaling $3.110 billion for a market share of 8.6 percent.
Check out the full breakdown of February’s biggest middle-market deals here.
–Cole Lipsky
