Half year buyout values hits £449m
THE value of private equity buyouts in the North West was up 92% in the first half of 2016, despite the upcoming referendum.
Deal values reached £449m in the first six months of 2016 compared with values worth just £234m during the second half 2015, Centre for Management Buyout Research data shows.
The North West continues to lead the way in the north and only fell behind London (£4.69bn) in terms of deal value.
Lower-mid market buyout activity remains consistent across the region, with deal values ranging between £10m and £185m.
THE value of private equity buyouts in the North West was up 92% in the first half of 2016, despite the upcoming referendum.
Deal values reached £449m in the first six months of 2016 compared with values worth just £234m during the second half 2015, Centre for Management Buyout Research data shows.
The North West continues to lead the way in the north and only fell behind London (£4.69bn) in terms of deal value.
Lower-mid market buyout activity remains consistent across the region, with deal values ranging between £10m and £185m.
This is evidenced by transactions such as the £185m sale of Wilmslow-based health and safety adviser Citation and the £60m acquisition of infrastructure support services provider EnServe Group.
Steve O’Hare, partner at Equistone Partners Europe, which sponsors the research, said: “Despite uncertainty surrounding Brexit, dealmakers are still getting transactions over the line especially in the lower-mid market. There are a number of investors in the North West targeting quality assets and we expect activity levels to gain momentum once the referendum has concluded.”
John Clifford at Investec Bank, a new co-sponsor of CMBOR, added: “The statistics reflect a normalisation of activity for private equity. The market is cooling off, with the EU referendum one of a number of challenges currently facing deal-doers. This has made larger deals more difficult to complete, but we are encouraged to see the lower mid-market persevere – it highlights private equity’s ability to truly invest across all cycles.”
