Access BGL Industrials Insider: https://bit.ly/BGLIndDistInsider2022
In the report, BGL examines the current state of the M&A market as well as the overall market and near-term outlook. Distributors navigate in a hectic environment. Supply chains and supply remain affected but have improved, and inflation and prices are the main concerns. Labor constraints, which have driven automation and efficiency, are easing. Distributors that have shown resilience benefit from the strength of their portfolio and balance sheet to withstand any volatility.
A sustained deal flow is indicative of the general investor interest in all retail sub-sectors and the active participation of strategic and financial buyers.
- Strategic buyers cite active pipelines and actively pursue mergers and acquisitions to diversify portfolios and expand product, customer and geographic markets. Motion Industries (Kaman Distribution Group) and Rexel (Mayer Electric) and are among the strategic buyers to have recently announced major transactions.
- The acquisition of Vallen Distribution by Nautic Partners was a headliner in private equity deal activity, illustrating continued interest in deploying dry powder in well-run distribution businesses as platforms. forms of growth.
- Serial acquirers continue their buying spree, with Core & Main, Winsupply, Ferguson and SRS Distribution among buyers aggressively seeking acquisition growth.
About Brown Gibbons Lang & Company
Brown Gibbons Lang & Company (BGL) is a leading independent investment bank and financial advisory firm focused on the global middle market. The firm advises private and public companies and private equity groups on Mergers and Acquisitions, capital markets, financial restructuring, company ratings and opinions, and other strategic issues. BGL has investment banking offices in Chicago, Cleveland, Los Angelesand New Yorkand real estate agencies in Chicago, Clevelandand San Antonio. The firm is also a founding member of Global M&A Partners, enabling BGL to serve clients in over 30 countries around the world. Securities transactions are conducted through Brown, Gibbons, Lang & Company Securities, LLC, an affiliate of Brown Gibbons Lang & Company LLC and a registered broker-dealer and member of FINRA and SIPC. For more information, please visit www.bglco.com
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