1st Half 2022 Information Industry Trends

1ST HALF 2022 KEY HIGHLIGHTS

Four of the Information Industry’s top ten highest value deals in 1st Half 2022 were completed by strategic acquirers. These four transactions, with a combined value of $167.41 billion, accounted for 45 percent of the industry’s aggregate value year-to-date.

There were 449 financially sponsored transactions with an aggregate value of $128.78 billion, representing 21 percent of the total volume and 35 percent of the total value, respectively.

1ST HALF 2022 KEY TRENDS

Total transaction volume in 1st Half 2022 increased by five percent over 2nd Half 2021, from 2,043 to 2,152.

Total transaction value in 1st Half 2022 gained 30 percent over 2nd Half 2021, from $283.96 billion to $367.95 billion.

As for the Information Industry’s three horizontal markets on a half year basis, Media & Marketing volume rose 29 percent; Online & Mobile volume improved two percent; and Software volume declined four percent.

The median revenue multiple moved downward from 3.6x in 2nd Half 2021 to 3.1x in 1st Half 2022. The median EBITDA multiple fell from 20.1x in 2nd Half 2021 to 11.4x in 1st Half 2022, returning to its 1st Half 2021 level.

M&A MARKET OVERVIEW

Berkery Noyes tracked 10,475 Information Industry transactions between 2020 and 1st Half 2022, of which 2,031 disclosed financial terms, and calculated the aggregate transaction value to be $1,089.77 trillion. Based on known transaction values, we project values of 8,444 undisclosed transactions to be $253.12 billion, totaling $1,342.89 trillion 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 3.1x revenue and 12.6x EBITDA.

Out of 10,475 transactions tracked by Berkery Noyes in this report, we found that 2,429 financially sponsored transactions accounted for 23 percent of the total transactions, yet they totaled $527.96 billion, representing 39 percent of aggregate transaction value.