Yielding a meager 121 completed middle-market deals, January was the least productive month since 1991, based on analyzing data from Thomson Reuters all the way back to 1978. Deal volume for the first month of the year was half that of the same month in the previous year. Total deal value generated in January 2016 was at the lowest point since 2009. (See related chart, showing 10 years of January data.)
The month followed a down year and a dismal fourth quarter for the middle market, which Mergers & Acquisitions defines as deals valued between $10 million on the low end and $1 billion on the high end. The 2015 tally of completed deals fell 200 transactions short of the previous year, a decline of 8 percent. The fourth quarter showed a dramatic dip, with 167 fewer deals closed than the same period a year earlier, representing a 26 percent drop.
In January, for the second month in a row, the Composite score on Mergers & Acquisitions’ Mid-Market M&A Conditions Index (MACI) indicated a contraction. December was the first time the Composite score moved into negative territory since Mergers & Acquisitions began our monthly surveys in the fall of 2013. The component scores for Leads, Signed Letters and Availability of Financing were all at their lowest recorded levels in January, suggesting we will see a prolonged slowdown in the first half of 2016. Participants cited a wide range of concerns, including stock market volatility, declining energy prices, rising interest rates, the slowing of China’s economy and uncertainty in an election year. For more, see Mid-Market M&A Come to a Dead Stop, or is This a Momentary Pause. Having seen many economic cycles come and go, they may be motivated to get out while the going is good. Take Mergers & Acquisitions’ monthly survey.
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 $1 billion or less; they must be completed (not just announced) within the timeframe designated; and they must include at least one U.S. company in the role of buyer and/or seller. Excluded from our charts are: recapitalizations; self tenders; exchange offers; repurchases; stake purchases; and transactions with undisclosed values, buyers or sellers. Our data provider is Thomson Reuters, which updates its databases continuously. We use the data available at press time. For the accompanying chart, data was collected on Feb. 1, 2016. For this article, we also analyzed data going back to 1978 that was collected on Feb. 8, 2016.
Date | Acquirer | Target | Target Industry | Value ($mil) |
---|---|---|---|---|
01/22/16 | DSV A/S | UTi Worldwide Inc | Transportation and Shipping (except air) | 970.8 |
01/15/16 | Pinnacle Foods Inc | Boulder Brands Inc | Wholesale Trade-Nondurable Goods | 962.5 |
01/26/16 | Amadeus IT Group SA | Navitaire Inc | Prepackaged Software | 830.0 |
01/15/16 | Protective Life Corp | Genworth Life & Annuity-In-for | Insurance | 661.0 |
01/11/16 | Kinross Gold Corp | Barrick Gold Corp-Bald Mtain & | Mining | 610.0 |
01/01/16 | Treasury Wine Estates Ltd | Diageo PLC-US & UK Wine Op | Food and Kindred Products | 600.0 |
01/21/16 | Svenska Cellulosa AB SCA | Wausau Paper Corp | Paper and Allied Products | 514.5 |
01/14/16 | Horizon Pharma PLC | Crealta Pharmaceuticals LLC | Drugs | 510.0 |
01/07/16 | Dover Corp | Tokheim-Dispenser & System Bus | Machinery | 474.3 |
01/07/16 | Lamar Advertising Co | Clear Channel Outdoor Hldg-Ass | Advertising Services | 458.5 |
01/15/16 | PulteGroup Inc | JW Homes LLC-Certain Assets | Construction Firms | 450.0 |
01/07/16 | Symrise AG | Pinova Holdings Inc | Chemicals and Allied Products | 417.0 |
01/15/16 | Zayo Group Holdings Inc | MTS Allstream Holdings Inc | Telecommunications | 348.5 |
01/11/16 | Liberty Utilities Corp | Park Water Co | Electric, Gas, and Water Distribution | 327.0 |
01/05/16 | Omnicell Inc | Aesynt Inc | Prepackaged Software | 275.0 |
01/14/16 | FireEye Inc | iSIGHT Partners Inc | Business Services | 275.0 |
01/07/16 | Sinocare Inc | Nipro Diagnostics Inc | Measuring, Medical, Photo Equipment; Clocks | 273.0 |
01/04/16 | CONMED Corp | SurgiQuest Inc | Measuring, Medical, Photo Equipment; Clocks | 265.0 |
01/13/16 | HEICO Electn Tech Corp | Robertson Fuel Systems LLC | Aerospace and Aircraft | 255.0 |
01/06/16 | UOP LLC | Thomas Russell LLC | Construction Firms | 240.0 |
01/04/16 | Westinghouse Electric Co LLC | CB&I Stone & Webster Inc | Business Services | 229.0 |
01/05/16 | Shorenstein Realty Services LP | Bank of America Plaza,Atlanta | Real Estate; Mortgage Bankers and Brokers | 220.0 |
01/26/16 | Northwood Investors LLC | CeGeREAL SA | Investment & Commodity Firms,Dealers,Exchanges | 208.7 |
01/05/16 | TransDigm Group Inc | Breeze-Eastern Corp | Aerospace and Aircraft | 205.9 |
01/15/16 | Investor Group | Eastridge Mall,San Jose,CA | Real Estate; Mortgage Bankers and Brokers | 200.0 |
01/20/16 | Brunswick Corp | CYBEX International Inc | Miscellaneous Manufacturing | 195.0 |
01/04/16 | Quality Systems Inc | HealthFusion Holdings Inc | Prepackaged Software | 190.0 |
01/04/16 | Audax Group LP | Centric Health Corp-Operations | Health Services | 188.0 |
01/07/16 | Limetree Bay Holdings LLC | Hovensa LLC-St Croix Refinery | Oil and Gas; Petroleum Refining | 184.0 |
01/26/16 | Tyco International PLC | ShopperTrak Corp | Business Services | 175.0 |
01/19/16 | Armada Hoffler Properties Inc | Retail Center Portfolio(11) | Retail Trade-General Merchandise and Apparel | 170.5 |
01/14/16 | Liberty Intl Holdings Inc | Cia de Seg Genes Penta | Insurance | 162.6 |
01/04/16 | AMN Healthcare Services Inc | BE Smith Inc | Business Services | 160.0 |
01/14/16 | Federal Realty Invstmnt Trust | Real Estate Property Portfolio | Real Estate; Mortgage Bankers and Brokers | 154.0 |
01/14/16 | Sabre Corp | Trust Group of Companies | Transportation and Shipping (except air) | 154.0 |
01/08/16 | Investor Group | LaSalle Invest Mgmt- BEST | Real Estate; Mortgage Bankers and Brokers | 138.9 |
01/20/16 | CryoLife Inc | On-X Life Technologies Inc | Measuring, Medical, Photo Equipment; Clocks | 130.0 |
01/11/16 | Juno Therapeutics Inc | AbVitro Inc | Drugs | 124.9 |
01/12/16 | PTC Inc | Kepware Inc | Prepackaged Software | 118.0 |
01/20/16 | WestRock Co | Cenveo Inc-Packaging Business | Paper and Allied Products | 105.0 |
01/13/16 | Advantech Co Ltd | B+B SmartWorx Inc | Electronic and Electrical Equipment | 99.9 |
01/25/16 | Rambus Inc | Bell Identification BV | Prepackaged Software | 92.2 |
01/07/16 | Allergan PLC | Anterios Inc | Drugs | 90.0 |
01/11/16 | Sotheby's | Art Agcy Partners Hldg LP | Business Services | 85.0 |
01/28/16 | Joes Jeans Inc | Robert Graham Holdings LLC | Retail Trade-General Merchandise and Apparel | 82.5 |
01/15/16 | Liberty Bank,Middletown,CT | Naugatuck Valley Finl Corp | Savings and Loans, Mutual Savings Banks | 77.8 |
01/04/16 | Prosperity Bancshares Inc | Tradition Bancshares Inc | Commercial Banks, Bank Holding Companies | 76.9 |
01/01/16 | Park Sterling Corp | First Capital Bancorp | Commercial Banks, Bank Holding Companies | 71.8 |
01/04/16 | First Merchants Corp | Ameriana Bancorp | Commercial Banks, Bank Holding Companies | 69.6 |
01/05/16 | CoreLogic Inc | RELS LLC | Business Services | 65.0 |
01/29/16 | Diamond Resorts International | Intrawest Resort Club Group Co | Hotels and Casinos | 63.9 |
01/04/16 | Amedisys Inc | Infinity HomeCare LLC | Health Services | 63.0 |
01/11/16 | ExamWorks Group Inc | ABI Document Support Svcs Inc | Business Services | 62.0 |
01/04/16 | Navigant Consulting Inc | McKinnis Consulting Services | Investment & Commodity Firms,Dealers,Exchanges | 62.0 |
01/07/16 | Eagle Creek Renewable Energy | Verso Androscoggin Power LLC | Electric, Gas, and Water Distribution | 62.0 |
01/08/16 | Northfield Bancorp Inc | Hopewell Valley Community Bank | Commercial Banks, Bank Holding Companies | 52.8 |
01/06/16 | First Cash Finl Services Inc | Maxi Prenda SA de CV-Pawn(166) | Miscellaneous Retail Trade | 52.0 |
01/25/16 | Retail Ppty of Americas Inc | Merrifield Town Center II | Real Estate; Mortgage Bankers and Brokers | 45.7 |
01/04/16 | Amcor Ltd | Deluxe Packages | Paper and Allied Products | 45.0 |
01/08/16 | RNTS Media NV | Heyzap Inc | Prepackaged Software | 45.0 |
01/07/16 | Lakeland Bancorp Inc | Pascack Bancorp Inc | Commercial Banks, Bank Holding Companies | 40.8 |
01/04/16 | Cedar Realty Trust Inc | E River Pk Shopping | Real Estate; Mortgage Bankers and Brokers | 39.0 |
01/15/16 | Ainsworth Game Technology Ltd | Nova Technologies LLC | Miscellaneous Manufacturing | 38.0 |
01/05/16 | Almost Family Inc | Long Term Solutions Inc | Health Services | 37.0 |
01/29/16 | Learning Technologies Group | Rustici Software LLC | Prepackaged Software | 37.0 |
01/07/16 | Peak Resorts Inc | Hunter Mountain Ski Bowl Inc | Hotels and Casinos | 36.8 |
01/01/16 | Digirad Corp | Project Rendezvous Hldg Corp | Health Services | 36.0 |
01/25/16 | Sterno Products LLC | Northern International Inc | Electronic and Electrical Equipment | 35.4 |
01/08/16 | NexTier Inc | Eureka Financial Corp | Savings and Loans, Mutual Savings Banks | 35.3 |
01/19/16 | CIENA Corp | TeraXion Inc-High Speed | Metal and Metal Products | 31.9 |
01/19/16 | ExamWorks Group Inc | Advanced Medical Reviews Inc | Health Services | 30.0 |
01/08/16 | Investor Group | Interocean Transportation Inc | Transportation and Shipping (except air) | 30.0 |
01/04/16 | Urban Edge Properties | Pan Bay Ctr,Rego Pk,New York | Real Estate; Mortgage Bankers and Brokers | 27.0 |
01/25/16 | Retail Ppty of Americas Inc | Shoppes at Hagerstown | Real Estate; Mortgage Bankers and Brokers | 27.0 |
01/12/16 | KBR Inc | Weatherly Inc | Construction Firms | 24.5 |
01/12/16 | Allied Motion Technologies Inc | Heidrive GmbH | Transportation Equipment | 21.9 |
01/14/16 | InvenTrust Properties Corp | Sonterra Village Shopping | Real Estate; Mortgage Bankers and Brokers | 21.5 |
01/07/16 | Militello Capital | Viera at Whitemarsh Apartments | Real Estate; Mortgage Bankers and Brokers | 20.4 |
01/26/16 | Marathon Asset Management LP | Parque Comercial Bahia Azul | Real Estate; Mortgage Bankers and Brokers | 20.1 |
01/04/16 | Gulf Island Shipyards LLC | LEEVAC Shipyards LLC | Transportation Equipment | 20.0 |
01/04/16 | Vishay Precision Group Inc | Stress-Tek Inc | Measuring, Medical, Photo Equipment; Clocks | 20.0 |
01/06/16 | Hempel Cos | Ryan Cos US Inc-Ret Portfolio | Real Estate; Mortgage Bankers and Brokers | 19.2 |
01/31/16 | Analogic Corp | Oncura Partners Diagnostics | Health Services | 19.0 |
01/22/16 | StatPro Group PLC | Investor Analytics LLC | Investment & Commodity Firms,Dealers,Exchanges | 16.0 |
01/01/16 | Amer Riviera Bk,Santa Barbara | Bank of Santa Barbara,CA | Commercial Banks, Bank Holding Companies | 15.4 |
01/05/16 | Liquor Stores NA Ltd | Birchfield Ventures LLC | Miscellaneous Retail Trade | 15.0 |
01/06/16 | Financial Institutions Inc | Courier Capital Corp | Investment & Commodity Firms,Dealers,Exchanges | 14.0 |
01/13/16 | Carbonite Inc | EVault Inc | Business Services | 14.0 |
01/11/16 | SurModics Inc | NorMedix Inc | Health Services | 14.0 |
01/29/16 | PBB Bancorp | First Mountain Bank,CA | Commercial Banks, Bank Holding Companies | 13.4 |
01/04/16 | WisdomTree Investments Inc | GreenHaven Commodity Services | Investment & Commodity Firms,Dealers,Exchanges | 11.8 |
01/11/16 | Kimco Realty Corp | Owings Mills Mall | Real Estate; Mortgage Bankers and Brokers | 11.5 |
01/13/16 | New Media Investment Group Inc | Times Publishing Co-Erie | Printing, Publishing, and Allied Services | 11.5 |
01/13/16 | Ultralife Corp | Accutronics Ltd | Electronic and Electrical Equipment | 10.9 |
01/13/16 | MiMedX Group Inc | Stability Inc | Measuring, Medical, Photo Equipment; Clocks | 10.0 |
01/04/16 | Versant Coml Brkg Inc | Office Bldg Portfolio(2) | Real Estate; Mortgage Bankers and Brokers | 9.1 |
01/05/16 | Ferro Corp | Ferer Dis Ticaret | Stone, Clay, Glass, and Concrete Products | 9.0 |
01/07/16 | ShoreTel Inc | Corvisa LLC | Prepackaged Software | 8.5 |
01/18/16 | Viking Partners LLC | Overland Pointe Marketplace,KS | Real Estate; Mortgage Bankers and Brokers | 8.5 |
01/05/16 | Warba Bank KSC | ATEL Capital Grp-Equip | Investment & Commodity Firms,Dealers,Exchanges | 8.2 |
01/04/16 | Riverview Financial Corp | Citizens Natl Bk,Meyersdale,PA | Commercial Banks, Bank Holding Companies | 8.0 |
01/14/16 | Arc Logistics Partners LP | Gulf Oil LP-Refined Prod | Wholesale Trade-Nondurable Goods | 8.0 |
01/06/16 | Umatrin Holding Ltd | U MATRIN Worldwide Sdn Bhd | Business Services | 7.5 |
01/06/16 | iMedX Australia Pty Ltd | OzeScribe Pty Ltd | Health Services | 7.2 |
01/04/16 | Agenus Inc | XOMA Corp-Mnfg Facilities | Drugs | 6.0 |
01/15/16 | USA Technologies Inc | VendScreen Inc | Computer and Office Equipment | 5.6 |
01/05/16 | SuperCom Ltd | Leaders in Cmnty Alternatives | Business Services | 3.0 |
01/26/16 | New Pride Corp | SH Maintain Co Ltd | Repair Services | 2.2 |
01/03/16 | Liberty University | New London Airport | Air Transportation and Shipping | 1.8 |
01/14/16 | Medical Facilities Corp | Integrated Med Delivery LLC | Health Services | 1.8 |
01/04/16 | CannaVest | CanX Inc | Prepackaged Software | 0.5 |
01/15/16 | Mobivity Holdings Corp | Livelenz Inc | Prepackaged Software | 0.5 |
01/26/16 | Equimaxx LLC | Magnifico Sp zoo | Business Services | 0.3 |
01/01/16 | Blackstone Ventures Inc | Lattice Biologics Inc | Health Services | 0.1 |