Q3 2015 KEY HIGHLIGHTS
- The largest transaction in Q3 2015 and year-to-date was The Carlyle Group’s announced acquisition of Veritas Technologies Corporation, a provider of storage and server management software solutions, for $8 billion.
- Four of the industry’s top ten highest value deals year-to-date occurred in the Infrastructure segment.
- There were 248 financially sponsored transactions in the 1st 3 Quarters of 2015 with an aggregate value of $51.0 billion, representing 17 percent of the total volume and 52 percent of the total value, respectively.
Q3 2015 KEY TRENDS
- Total transaction volume in Q3 2015 underwent a slight uptick over Q2 2015, from 502 to 507.
- Total transaction value in Q3 2015 rose by 24 percent over Q2 2015, from $33.8 billion to $41.7 billion.
MULTIPLES & VALUE TRENDS
- The median revenue multiple from 2014 through the 1st 3 Quarters of 2015 decreased by 15 percent, from 2.7x to 2.3x.
- The median EBITDA multiple from 2014 through the 1st 3 Quarters of 2015 improved by ten percent, from 12.0x to 13.2x.
TOP TEN DEALS THROUGH Q3 2015
The top ten deals by value have seen four new additions since our half year report. Three of these four transactions were backed by financial sponsors. In addition to Veritas, this consisted of Vista Equity Partners’ acquisition of Solera Holdings in the Finance vertical and TPG Capital and Leonard Green Capital Partners’ acquisition of Ellucian in the Education vertical.
These four transactions, with an aggregate value of $20.4 billion, represented 21 percent of transaction value in the 1st 3 Quarters of 2015 and 49 percent of Q3 2015 transaction value.