M&A MARKET UPDATE JANUARY 2020 U.S. MONTHLY REVIEW
Notable Trends in January 2020
Year-over-year, both total capital invested and deal count are down from 2019 to 2020. Total capital invested is down 17.8% from $73.345 billion in 2019 to $59.84 billion in 2020, while deal count is down even more at almost 26%, from 589 deals in January 2019 to 436 deals in 2020. Year-over-year, median deal size has decreased slightly from $85 million in 2019 to $80 million in 2020. It is also down from last month’s median deal size of $88.8 million.
The EV/EBITDA median multiple is down slightly, year-over-year, from 11.4x in 2019 to 11.1x in 2020; however, it is more than last month’s multiple of 10.8x. The cumulative impact of high stock valuations and macroeconomic uncertainty has led to the lack of deal size and activity during the month.