1st Half 2022 Private Equity Industry Trends

1ST HALF 2022 KEY HIGHLIGHTS

The most active acquirer in the Information Industry in 1st Half 2022 either directly or through an affiliated business was Providence Equity Partners with 17 transactions.

The industry’s largest sponsored transaction year-to-date was the announced acquisition of Citrix, which provides virtualization solutions and workspace technology allowing remote access to applications and computer desktops, by affiliates of Vista Equity Partners and Evergreen Coast Capital, for $16.62 billion.

1ST HALF 2022 KEY TRENDS

Total transaction volume in 1st Half 2022 decreased by 12 percent over 2nd Half 2021, from 514 to 451.

The industry’s Media & Marketing horizontal saw volume increase 29 percent, from 466 in 2nd Half 2021 to 603 in 1st Half 2022.

Total transaction value in 1st Half 2022 gained 31 percent over 2nd Half 2021, from $84.96 billion to $111.60 billion.

The median revenue multiple, after improving from 4.0x in 1st Half 2021 to 5.4x in 2nd Half 2021, declined to 4.7x in 1st Half 2022.

The median EBITDA multiple, after rising from 15.2x in 1st Half 2021 to 25.1x in 2nd Half 2021, fell to 17.2x in 1st Half 2022.

M&A MARKET OVERVIEW

Berkery Noyes tracked 2,411 private equity transactions between 2020 and 1st Half 2022, of which 266 disclosed financial terms, and calculated the aggregate transaction value to be $291.03 billion. Based on known transaction values, we project values of 2,145 undisclosed transactions to be $75.15 billion, totaling $366.18 billion worth of transactions tracked over the past two and a half years.

Transactions from 1st Half 2020 to 1st Half 2022 with enterprise values in the $10-$20 million range had a median revenue multiple of 1.1x, whereas those above $160 million garnered a median revenue multiple of 5.3x.

Disclosed median revenue multiple for all segments combined in this report in the last 30 months were 4.0x revenue and 18.2x EBITDA.