In another sign that 2015 may be frontloaded, the volume and value of completed middle-market transactions in July dropped below the level seen in June, according to data from Thomson Reuters. (See related graphic.)
While completed deals for the first six months of the year suggested that 2015 was performing essentially on par with 2014, the July data drags the year-to-date numbers down. With seven months of data tallied, 2015 has delivered only 1,321 completed transactions valued at $164.2 billion, compared with 1,364 completed transactions valued at $184.2 billion in the first seven months of 2014.
While it may be tempting to blame the deceleration on summer vacations, it’s important to remember that July ranked as one of the strongest months for M&A in 2014.
Adding more evidence that 2015 may not prove as robust for M&A as 2014, transaction pros continue to express more optimism about the next three months than the next 12 on Mergers & Acquisitions’ monthly surveys. And, while early-stage deal flow grew in July, according to the Mid-Market M&A Conditions Index (MACI), a barometer created by Mergers & Acquisitions, the pace of growth was flat.
When asked why the M&A momentum may be slowing, dealmakers mention high prices for targets, stiff competition and concerns about the global economy, including Greece and China. Recent volatility in the stock markets is likely to add uncertainty to the dealmaking environment.
One of the biggest mid-market deals to close in July was Hormel Foods Corp.'s (NYSE: HRL) $775 million purchase of Applegate Farms, as better-for-you-food deals continue to flourish. Here's a list of other middle-market transactions to close in the month.
Editor’s Note: To measure activity in the middle market, Mergers & Acquisitions looks at transactions that fulfill several requirements: Deals must have a value of roughly $1 billion or less; they must be completed (not just announced) within the timeframe designated; and they must include at least one U.S. company in the role of buyer and/or seller. Excluded from our charts are: recapitalizations; self-tenders; exchange offers; repurchases; stake purchases; and transactions with undisclosed values, buyers or sellers. Our data provider is Thomson Reuters, which updates its databases continuously.
Mid-Market Deals that Closed in July
Date | Acquirer | Target | Target Industry | Value ($mil) |
---|---|---|---|---|
07/02/15 | Investor Group | Extendicare Holdings Inc | Social Services | 887.0 |
07/13/15 | Hormel Foods Corp | Applegate Farms LLC | Food and Kindred Products | 775.0 |
07/01/15 | MAHLE GmbH | Delphi Automotive-Thermal Sys | Transportation Equipment | 727.0 |
07/17/15 | Solera Holdings Inc | Identifix Inc | Printing, Publishing, and Allied Services | 619.8 |
07/08/15 | CA Inc | Rally Software Dvlp Corp | Prepackaged Software | 513.8 |
07/20/15 | Summit Materials Inc | Lafarge N America Inc-Davenpor | Stone, Clay, Glass, and Concrete Products | 450.0 |
07/07/15 | Fosun International Ltd | Meadowbrook Ins Grp Inc | Insurance | 433.3 |
07/13/15 | Francisco Partners Management | ClickSoftware Technologies Ltd | Prepackaged Software | 421.1 |
07/01/15 | Sabre Corp | Abacus International Pte Ltd | Transportation and Shipping (except air) | 411.0 |
07/13/15 | Capmark Financial Group Inc | Orchard Brands Corp | Miscellaneous Retail Trade | 410.0 |
07/01/15 | CyrusOne Inc | Cervalis Holdings LLC | Business Services | 400.0 |
07/23/15 | Oceana Group Ltd | Daybrook Fisheries Inc | Agriculture, Forestry, and Fishing | 382.3 |
07/22/15 | Tesoro Logistics LP | QEP Midstream Partners LP | Electric, Gas, and Water Distribution | 381.7 |
07/15/15 | Mondelez International Inc | Kinh Do Binh Duong JSC | Food and Kindred Products | 370.0 |
07/09/15 | Capitol Acquisition Corp II | Lindblad Expeditions Inc | Transportation and Shipping (except air) | 326.9 |
07/02/15 | Amdocs Ltd | Comverse Inc-BSS Business Unit | Prepackaged Software | 273.0 |
07/07/15 | Team Inc | Qualspec Inc | Oil and Gas; Petroleum Refining | 265.0 |
07/02/15 | NGK Spark Plug Co Ltd | UCI Acq Hldg (No.2) Corp | Transportation Equipment | 257.5 |
07/01/15 | Plastipak Packaging Inc | Seda de Barcelona-Packaging | Rubber and Miscellaneous Plastic Products | 257.4 |
07/23/15 | Embarcadero Maritime III | HSAM GmbH | Transportation and Shipping (except air) | 254.5 |
07/01/15 | Renasant Corp | Heritage Financial Group Inc | Savings and Loans, Mutual Savings Banks | 253.4 |
07/21/15 | American Realty Advisors LLC | Vulcan Inc-2201 Wlake Ave | Real Estate; Mortgage Bankers and Brokers | 251.0 |
07/17/15 | Investor Group | Hypo SEE Holding AG | Commercial Banks, Bank Holding Companies | 243.5 |
07/03/15 | HC International Inc | Orange Triangle Inc | Business Services | 240.0 |
07/07/15 | Investor Group | Beacon Capital-Office(2) | Real Estate; Mortgage Bankers and Brokers | 225.0 |
07/20/15 | Opera Investments PLC | SoloPower Systems Inc | Electronic and Electrical Equipment | 220.0 |
07/09/15 | Walgreens Boots | Liz Earle Beauty Co Ltd | Soaps, Cosmetics, and Personal-Care Products | 215.2 |
07/20/15 | Integra LifeSciences Hldg Corp | TEI Biosciences Inc | Drugs | 211.0 |
07/01/15 | Shareholders | SeaSpine Inc | Measuring, Medical, Photo Equipment; Clocks | 209.8 |
07/01/15 | Pacific Ethanol Inc | Aventine Renewable Energy | Chemicals and Allied Products | 190.2 |
07/09/15 | Splunk Inc | Caspida Inc | Printing, Publishing, and Allied Services | 190.0 |
07/16/15 | Albany Molecular Research Inc | Gadea Grupo Farmaceutico SL | Drugs | 175.2 |
07/01/15 | Investor Group | CommerzBk AG-Eur Loan Portf | Real Estate; Mortgage Bankers and Brokers | 171.7 |
07/01/15 | Washington RE Investment Trust | The Wellington,Arlington,Virgi | Construction Firms | 167.0 |
07/21/15 | Taylor Morrison Home Corp | Orleans Homebuilders-Operation | Construction Firms | 166.0 |
07/02/15 | Ascott Residence Trust | Element New York Times Sq W | Hotels and Casinos | 163.5 |
07/07/15 | Ferro Corp | Nubiola Pigmentos SL | Chemicals and Allied Products | 162.4 |
07/07/15 | AMETEK Inc | Cognex Corp-Surface | Measuring, Medical, Photo Equipment; Clocks | 160.0 |
07/07/15 | Beekman Tower Holdings LLC | Beekman Residential-Beekman To | Real Estate; Mortgage Bankers and Brokers | 138.9 |
07/17/15 | GameStop Inc | Geeknet Inc | Business Services | 135.7 |
07/16/15 | Starwood Global Opportunity | Office Buildings(2) | Real Estate; Mortgage Bankers and Brokers | 130.6 |
07/10/15 | American Water Works Co Inc | Keystone Clearwater Solutions | Construction Firms | 130.0 |
07/01/15 | Pennsylvania Services Corp | Pennsylvania Land Resources | Oil and Gas; Petroleum Refining | 126.0 |
07/01/15 | Knowles Corp | Audience Inc | Electronic and Electrical Equipment | 110.7 |
07/02/15 | ALLETE Clean Energy Inc | AES Armenia Mountain Wind LLC | Electric, Gas, and Water Distribution | 108.0 |
07/13/15 | Compass Diversified Holdings | Fresh Hemp Foods Ltd | Food and Kindred Products | 106.6 |
07/16/15 | Entercom Communications Corp | Lincoln Financial Media Co | Radio and Television Broadcasting Stations | 105.0 |
07/29/15 | Investor Group | Slate Creek at Johnson | Real Estate; Mortgage Bankers and Brokers | 101.5 |
07/01/15 | BNC Bancorp,Thomasville,NC | Valley Financial,Roanoke,VA | Commercial Banks, Bank Holding Companies | 101.3 |
07/20/15 | Integra LifeSciences Hldg Corp | TEI Medical Inc | Drugs | 101.0 |
07/23/15 | Aragon Holdings Inc | Apartment Ppty Portfolio(3) | Real Estate; Mortgage Bankers and Brokers | 100.0 |
07/15/15 | DiamondRock Hospitality Co | Sheraton Suites Key West | Hotels and Casinos | 94.0 |
07/17/15 | Genco Shipping & Trading Ltd | Baltic Trading Ltd | Transportation and Shipping (except air) | 93.7 |
07/29/15 | Strategic Hotels & Resorts Inc | JW Marriott Essex House,New Yo | Hotels and Casinos | 89.8 |
07/10/15 | CBRE Global Investors | MG RE-Shopping Ctrs(2) | Real Estate; Mortgage Bankers and Brokers | 88.9 |
07/30/15 | NeuStar Inc | Bombora Technologies Pty Ltd | Business Services | 86.4 |
07/09/15 | Ashford Hospitality Trust Inc | Bardessono Hotel & Spa, | Hotels and Casinos | 85.0 |
07/01/15 | Janus Capital Group Inc | Kapstream Capital Pty Ltd | Investment & Commodity Firms,Dealers,Exchanges | 84.3 |
07/06/15 | Cardtronics Inc | Columbus Data Services LLC | Miscellaneous Retail Trade | 80.0 |
07/27/15 | Mainstreet Bank | Eagle Bancorp-Loan Portfolio | Credit Institutions | 80.0 |
07/14/15 | Arc Logistics Partners LP | UET Midstream LLC | Oil and Gas; Petroleum Refining | 74.8 |
07/01/15 | Horizon Bancorp,IN | Peoples Bancorp,Auburn,Indiana | Commercial Banks, Bank Holding Companies | 73.1 |
07/16/15 | RLJ Lodging Trust | Hyatt Place,Washington,DC | Hotels and Casinos | 68.0 |
07/02/15 | Handy & Harman Ltd | JPS Industries Inc | Stone, Clay, Glass, and Concrete Products | 64.0 |
07/17/15 | Apex Technology Co Ltd | Static Control Components Inc | Computer and Office Equipment | 63.0 |
07/24/15 | AirBoss-Defense Inc | Immediate Response Tech Inc | Textile and Apparel Products | 62.0 |
07/02/15 | American Addiction Centers Inc | Referral Solutions Group LLC | Social Services | 60.0 |
07/16/15 | Alere Inc | US Diagnostics Inc | Measuring, Medical, Photo Equipment; Clocks | 60.0 |
07/21/15 | Tyco Retail Solutions Inc | FootFall Ltd | Textile and Apparel Products | 60.0 |
07/01/15 | Ashford Hospitality Trust Inc | W Atlanta Downtown Hotel | Hotels and Casinos | 56.8 |
07/22/15 | Chatham Lodging Trust | Residence Inn,Dedham,MA | Hotels and Casinos | 55.5 |
07/15/15 | Buckeye City-Arizona | Valencia Water Co | Electric, Gas, and Water Distribution | 55.0 |
07/02/15 | Austin Powder Asia Pacific Inc | Tenaga Kimia Sdn Bhd | Chemicals and Allied Products | 54.0 |
07/01/15 | Diversified Rest Hldgs Inc | Buffalo Wild Wings-Rest(18) | Retail Trade-Eating and Drinking Places | 54.0 |
07/03/15 | EFI | Matan Digital Printers Ltd | Computer and Office Equipment | 50.0 |
07/13/15 | B&G Foods Inc | Spartan Foods of America Inc | Food and Kindred Products | 50.0 |
07/30/15 | Lombard Medical PLC | Altura Medical Inc | Measuring, Medical, Photo Equipment; Clocks | 49.0 |
07/01/15 | Webster Capital Management LLC | Dover Saddlery Inc | Miscellaneous Retail Trade | 48.2 |
07/23/15 | Weston Inc | Greylyn Bus Pk,Charlotte,NC | Real Estate; Mortgage Bankers and Brokers | 46.0 |
07/22/15 | InvenTrust Properties Corp | The Highlands of Flower Mound | Real Estate; Mortgage Bankers and Brokers | 45.8 |
07/03/15 | Starlight US Multi-Family | Reserves at Alafaya,Orlando,FL | Real Estate; Mortgage Bankers and Brokers | 42.7 |
07/24/15 | Wintrust Financial Corp | Community Financial Shares Inc | Commercial Banks, Bank Holding Companies | 42.4 |
07/06/15 | Emerald Kalama Chemical LLC | Innospec Widnes Ltd | Chemicals and Allied Products | 40.5 |
07/30/15 | Quaker Chemical Corp | Verkol SA | Oil and Gas; Petroleum Refining | 40.1 |
07/08/15 | Fortinet Inc | Meru Networks Inc | Computer and Office Equipment | 39.6 |
07/28/15 | SunPower Corp | Infigen Energy Ltd-US Solar | Electric, Gas, and Water Distribution | 37.9 |
07/16/15 | RLJ Lodging Trust | Homewood Suites,Seattle,WA | Hotels and Casinos | 37.9 |
07/28/15 | Vitaligent LLC | Jamba Inc-Rest,California(100) | Retail Trade-Eating and Drinking Places | 36.0 |
07/01/15 | Acadia Healthcare Co Inc | Belmont Center | Health Services | 35.0 |
07/01/15 | Tiptree Financial Inc | Reliance First Capital LLC | Real Estate; Mortgage Bankers and Brokers | 34.7 |
07/01/15 | Gray Television Inc | KOSA-TV, CBS7,Odessa,Texas | Radio and Television Broadcasting Stations | 33.6 |
07/01/15 | Ambarella Inc | VisLab srl | Business Services | 30.0 |
07/15/15 | Live Ventures Inc | Marquis Industries Inc | Wholesale Trade-Durable Goods | 30.0 |
07/27/15 | Brennan Investment Group LLC | Hillsdale Business Park,IN | Real Estate; Mortgage Bankers and Brokers | 30.0 |
07/01/15 | SIFCO Industries Inc | C Blade SpA | Metal and Metal Products | 28.0 |
07/03/15 | BBITC Acquisition Corp | Advion Inc | Chemicals and Allied Products | 28.0 |
07/28/15 | Tullett Prebon PLC | MOAB Oil Inc | Investment & Commodity Firms,Dealers,Exchanges | 26.6 |
07/02/15 | WP Carey Inc | Logistics Facility,Oskarshamn | Real Estate; Mortgage Bankers and Brokers | 25.5 |
07/21/15 | Bascom Group LLC | Square Apartments,Downey,CA | Real Estate; Mortgage Bankers and Brokers | 25.5 |
07/01/15 | IDEX Corp | CIDRA Precision Services LLC | Measuring, Medical, Photo Equipment; Clocks | 25.0 |
07/06/15 | Mesa Laboratories Inc | 2396081 Ontario Inc | Business Services | 21.3 |
07/07/15 | Wilmington Group PLC | Finl Research Assoc LLC-Assets | Investment & Commodity Firms,Dealers,Exchanges | 20.6 |
07/01/15 | Veritex Holdings Inc | IBT Bancorp Inc | Commercial Banks, Bank Holding Companies | 20.5 |
07/10/15 | Benedict Realty Group LLC | 11555 & 11575 Heron Bay(2) | Real Estate; Mortgage Bankers and Brokers | 20.2 |
07/01/15 | Gray Television Inc | Neuhoff Family LP-KMVT-TV & | Radio and Television Broadcasting Stations | 17.5 |
07/01/15 | Wintrust Financial Corp | North Bank,Chicago,Illinois | Commercial Banks, Bank Holding Companies | 17.0 |
07/14/15 | Rexford Industrial Realty Inc | Danielson Court Industrial | Transportation and Shipping (except air) | 16.9 |
07/17/15 | Seacoast Bkg Corp of Florida | Grand Bankshares Inc | Commercial Banks, Bank Holding Companies | 16.7 |
07/27/15 | Newtek Business Services Inc | Premier Payments LLC | Prepackaged Software | 16.5 |
07/27/15 | Masonite International Corp | Performance Doorset Solutions | Wood Products, Furniture, and Fixtures | 16.0 |
07/07/15 | Travelport Worldwide Ltd | Mobile Travel Technologies Ltd | Prepackaged Software | 15.8 |
07/01/15 | Cheyenne Light Fuel & Power Co | Energy West Wyoming Inc | Electric, Gas, and Water Distribution | 15.8 |
07/07/15 | Denver Hospitality II LLC | Element Denver Park Meadows | Hotels and Casinos | 15.5 |
07/01/15 | Investor Group | Hartco Inc | Business Services | 13.9 |
07/23/15 | Almost Family Inc | Ingenios Health | Health Services | 13.4 |
07/20/15 | Poydras Gaming Finance Corp | Integrity Gaming ,Aurora Gamin | Amusement and Recreation Services | 13.2 |
07/18/15 | Wintrust Financial Corp | Suburban Illinois Bancorp,IL | Commercial Banks, Bank Holding Companies | 12.5 |
07/22/15 | The Descartes Sys Group Inc | Bearware Inc | Transportation and Shipping (except air) | 11.3 |
07/28/15 | Virtusa Corp | Agora Group Inc | Business Services | 10.4 |
07/22/15 | Wheeler REIT Inc | Forge Capital-Sunshine Plaza | Real Estate; Mortgage Bankers and Brokers | 10.4 |
07/01/15 | Gray Television Inc | NEPSK Inc-WAGM-TV | Radio and Television Broadcasting Stations | 10.3 |
07/28/15 | Corporate Executive Board Co | CEO Forum Group | Business Services | 9.5 |
07/14/15 | Amarantus Biosciences Hldg Inc | Cutanogen Corp | Drugs | 9.0 |
07/02/15 | CareTrust REIT Inc | Bristol Court Assisted Living | Health Services | 8.4 |
07/02/15 | CareTrust REIT Inc | Shamrock Nursing | Health Services | 8.3 |
07/09/15 | Spark Energy Inc | CenStar Energy Corp | Oil and Gas; Petroleum Refining | 8.3 |
07/27/15 | Kentucky Bancshares Inc,KY | Madison Financial Corp | Commercial Banks, Bank Holding Companies | 7.2 |
07/24/15 | First Interstate BancSystem In | Absarokee Bancorp | Commercial Banks, Bank Holding Companies | 7.2 |
07/01/15 | Huhtamaki Inc | Pure-Stat Technologies Inc | Paper and Allied Products | 6.6 |
07/13/15 | Wheeler REIT Inc | Chesapeake Sq Shopping Center, | Real Estate; Mortgage Bankers and Brokers | 6.3 |
07/13/15 | ARI Network Services Inc | Direct Communications Inc | Miscellaneous Retail Trade | 6.3 |
07/08/15 | McSam Hotel Group LLC | Byblos Niagara Resort & Spa | Hotels and Casinos | 6.3 |
07/16/15 | Verris LLC | Eastchester Shopping Center | Real Estate; Mortgage Bankers and Brokers | 6.3 |
07/01/15 | Black Hills Corp | MGTC-Gas Transmission | Electric, Gas, and Water Distribution | 6.0 |
07/21/15 | Victrex PLC | Kleiss Gears Inc | Machinery | 6.0 |
07/29/15 | Frutarom Industries Ltd | Scandia Citrus LLC | Agriculture, Forestry, and Fishing | 6.0 |
07/15/15 | Goodwill Manasota Inc | 2240 & 2150 Whitfield Bldgs(2) | Real Estate; Mortgage Bankers and Brokers | 5.6 |
07/27/15 | Benchmark Holdings PLC | Akvaforsk Genetics Center Inc | Agriculture, Forestry, and Fishing | 4.3 |
07/28/15 | CAI Int Inc | Clearpointt Logistics LLC | Transportation and Shipping (except air) | 4.1 |
07/24/15 | Engagement Labs Inc | Keller Fay Group | Business Services | 4.0 |
07/13/15 | Beresford Energy Corp | Octava SA | Investment & Commodity Firms,Dealers,Exchanges | 3.9 |
07/09/15 | SITO Mobile Ltd | Hipcricket Inc-Mobile Advg Bus | Business Services | 3.8 |
07/07/15 | Flora Real Properties LLC | 633 W Michigan LLC-Ramada | Hotels and Casinos | 3.8 |
07/10/15 | DCX-CHOL Enterprises Inc | Southern California Braiding | Electronic and Electrical Equipment | 2.5 |
07/31/15 | PRA Health Sciences Inc | Value Health Solutions Inc | Aerospace and Aircraft | 2.5 |
07/02/15 | Wellcom Group Ltd | Dippin' Sauce LLC | Motion Picture Production and Distribution | 2.2 |
07/24/15 | CenterState Banks,Davenport,FL | SBk FSB-Palm Beach Gardens,FL | Commercial Banks, Bank Holding Companies | 2.0 |
07/20/15 | Hunt Family LP | Hunt Mining Corp | Mining | 1.1 |
07/24/15 | Strongbow Exploration Inc | Thor Gold Alaska Inc | Mining | 0.5 |
07/13/15 | Springer Energy Partners LP | Ncote Energy Ltd-S Weslaco | Oil and Gas; Petroleum Refining | 0.4 |
07/01/15 | Starbreeze AB | Payday Productions LLC | Business Services | 0.3 |
Key Middle-Market M&A Deals Completed in July 2015 | ||||
Source: Thomson Reuters |