Presented to Comstock Valuation Advisors
This presentation outlines recent M&A trends and highlights The Malibu Group’s expertise in enhancing acquisition results for growing and upper middle market businesses.
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M&A deal volume and value has been in decline for the past 2 years. However, the middle market is poised for generational change as the number of business owners planning to retire continues to increase.
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Liquidity is still high. Private Equity Funds are still flush with cash commitments and have over $1.3 trillion currently available for
new deals. -
Both buyers and lenders are doing more extensive due diligence because of an increased focus on risk. Because of the increased
risk, PE Funds are in a Catch-22 of wanting to use higher benchmark returns in ROI models, but being forced to put more equity into
deals because of reduced leverage ratios. -
Lower leverage ratios mean lower EBITDA multiples and more complicated deal structures. Given the current economic environment,
businesses can trust The Malibu Group to make sense of it all and optimize business investments and exits.