Private equity investment in marcomms M&A doubles in 2018

Private Equity M&A activity doubles / rawpixel

Private equity investment in marcomms M&As doubled year-on-year in the first half of 2018.

Findings from Results International claimed there were 89 PE-backed deals this year in marcomms, double the 46 clocked in 2017.

There were 397 M&A deals in place in the first half of 2018, 22% of which was backed by PE.

The research outlines that May was the quietest month of the sector – and June was the busiest with 80 deals being processed.

The group points to some of the most prominent M&As during the period. Betram Capital made four acquisitions in the last year. Creativedrive logged three acquisitions and Clarion Events, of The Blackstone Group, bought B2B marketing and events company PennWell Corporation.

Julie Langley, partner at Results International, said: “The private equity houses have been drawn to the sector by some big wins over the last few years, and this is driving their continuing interest. With nearly a quarter of deals PE-backed so far this year, it’s clear that marketing services is a highly desirable sector for many financial investors.”

Media M&A shot up from seventh to third most active sector and OOH was also flagged as a space to watch.

Keith Hunt, managing partner at Results International, recently commented on Sir Martin Sorrell's acquisition of MediaMonks. He claimed: "S4 Capital seems to have abandoned commercial considerations in its desperate pursuit of landing the asset."

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