East Midlands Reports Six-year High for Private Equity-backed Deals at £989m

Jan 7, 2022 | News

The value of private equity-backed deals in the East Midlands was at its highest level for six-years in 2021, according to new research.

Provisional data from the Centre for Private Equity and MBO Research (CMBOR) said that total deal value for the region stood at £989m, up from £152m in 2020 and the highest since 2015.

Five deals were recorded in the first quarter of the year, four in the second quarter and two in each of the last two quarters of 2021.

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Will Copeland, from Equistone’s Midlands office, said: “With the exception of 2015, the deal value of buyouts in the East Midlands is the highest it has been for over ten years. The region has built-on the resilience shown in the second half of 2020 and continued to be an attractive region for investment capital.

“Average deal value in the East Midlands rose significantly from £14m in 2020 to £76m in 2021, well above the average for the last ten years of £53m, with sector-focus predominately being in business services and technology companies.

“For the year ahead, there are several interesting opportunities emerging in the Midlands, both from a platform investment and bolt-on investment perspective. There is some anticipation that the latter may arise from more distressed situations.

“Meanwhile, we will continue to focus not only on finding new investment opportunities but also realising value for our investors. I suspect we’re not the only general partner in this segment that has returned more capital to investors than we invested in 2021.”

Source: Insider Media

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