1ST HALF 2021 KEY HIGHLIGHTS
Seven of the Information Industry’s top ten highest value deals in 1st Half 2021 were completed by strategic acquirers. These seven transactions combined accounted for slightly more than one-quarter of the industry’s aggregate value year-to-date.
There were 559 financially sponsored transactions with an aggregate value of $111.83 billion, representing 24 percent of the total volume and 42 percent of the total value, respectively.
1ST HALF 2021 KEY TRENDS
Total transaction volume in 1st Half 2021 increased by 13 percent over 2nd Half 2020, from 2,027 to 2,295.
Total transaction value in 1st Half 2021 improved by 16 percent over 2nd Half 2020, from $229 billion to $266.27 billion.
As for the industry’s three horizontal markets, Software volume rose 22 percent; Online & Mobile volume gained 14 percent; and Media & Marketing volume remained nearly constant.
The median revenue multiple rose from 2.7x in 2nd Half 2020 to 4.0x in 1st Half 2021. The median EBITDA multiple moved downward from 13.5x in 2nd Half 2020 to 11.0x in 1st Half 2021, returning to its 1st Half 2020 level.
M&A MARKET OVERVIEW
Berkery Noyes tracked 10,840 Information Industry transactions between 2019 and 1st Half 2021, of which 1,946 disclosed financial terms, and calculated the aggregate transaction value to be $751.92 billion. Based on known transaction values, we project values of 8,894 undisclosed transactions to be $230.23 billion, totaling $982.15 billion worth of transactions tracked over the past two and a half years.
Disclosed median enterprise value multiples for all segments combined in this report during the last 30 months were 2.8x revenue and 12.5x EBITDA.
Out of 10,840 transactions tracked by Berkery Noyes in this report, we found that 2,461 financially sponsored transactions accounted for 23 percent of the total transactions, yet they totaled $353.57 billion, representing 36 percent of aggregate transaction value.