Q3 2017 KEY HIGHLIGHTS
- The largest transaction in Q3 2017 and year-to-date was U.S. based Vantiv’s announced merger with U.K. based Worldpay Group for $11.6 billion in the Payments segment.
- The most active acquirer through the 1st 3 Quarters of 2017, either directly or through an affiliated business, was Verisk Analytics with seven transactions. Three of these deals occurred in Q3 2017: Sequel Business Solutions for $321 million in the Insurance segment; LCI for $151 million in the Banking segment; and G2 Web Services for $112 million in the Payments segment.
Q3 2017 KEY TRENDS
- Total transaction volume in the 1st 3 Quarters of 2017 decreased by five percent over the 1st 3 Quarters of 2016, from 347 to 330.
- Total transaction value in the 1st 3 Quarters of 2017 rose by 19 percent over the 1st 3 Quarters of 2016, from $30.7 billion to $36.6 billion.
MULTIPLES & VALUE TRENDS
- The median revenue multiple on a year-over-year basis increased from 1.8x to 2.6x. The median EBITDA multiple on a year-over-year basis improved from 11.4x to 14.9x.
TOP TEN DEALS THROUGH Q3 2017
The top ten deals by value have seen four new additions since our half year report, including two in the Capital Markets segment: Genstar Capital’s announced acquisition of Institutional Shareholder Services for $720 million and Nasdaq’s announced acquisition of eVestment Alliance for $705 million.
These four transactions, with an aggregate value of $14.4 billion, represented 39 percent of transaction value in the 1st 3 Quarters of 2017 and 81 percent of Q3 2017 transaction value.