Mergers and Acquisitions in September 2022

Business Intelligence, Bureau Van Dijk, recorded another busy trading month in M&A with 222 transactions in September, highlighting an increase of almost 10% from the last month. Overseas acquirers for September also increased by 15% with 78 deals recorded for this trading period.

The largest transaction for the month was the £6.3 billion acquisition of Meggitt plc by Parker Hannifin Corporation. The acquirer is a global leader in motion and control technologies. Meggitt plc is headquartered in Coventry UK and employs around 9,000 team members serving customers around the world. The UK based company has diverse aerospace and defence exposure with technology and products on almost every major aircraft platform. Chairman and Chief Executive Officer of Meggitt, Tom Williams said, “We are excited to have reached the closing of what is a very compelling strategic and cultural combination. Meggitt’s complimentary product portfolio and geographic footprint, as well as its proprietary and differentiated technologies, will significantly enhance Parker’s capabilities, positioning us to provide a broader suite of solutions for aircraft and aeroengine components and systems. This acquisition continues the transformation of Parker’s portfolio with greater exposure to longer cycle, more resilient businesses that are well positioned for secular growth trends.”

Another significant deal recorded for the month was the £1.6 billion acquisition of Brewin Dolphin Holdings plc by RBC Wealth Management (Jersey) Holdings Ltd. RBS Wealth Management is a leading global wealth and asset manager with market leadership in Canada, and a growing position in the United States. Brewin Dolphin has more than 30 regional offices, over 2,100 employees and a long history pf providing exceptional service to private clients. David Thomas, CEO, RBC Wealth Management International said, “We are delighted to complete the acquisition of Brewin Dolphin and excited to welcome its clients and talented colleagues to RBC. Brewin Dolphin brings outstanding experience, and an impressive track record of growth, innovation and investment performance. Our shared client-centric culture and values have really shone through over the past few months, and we look forward to developing this further, increasing the depth and breadth of our offering to clients and intermediaries.”

Other higher value deals for this month include the acquisition of CareTech Holdings plc by Amalfi Bidco Ltd for £738 million; SPT Labtech Ltd by EQT IX for £650 million; Melrose Industries plc’s Ergotron unit by The Sterling Group LP for £583 million; Albumedix Ltd by Sartorius Stedim Biotech SA for £415 million; and Ducentis Biotherapeutics Ltd by Arcutis Biotherapeutics Inc. for £386 million.

Triton Power Holdings Ltd was acquired by Equinor ASA for £341 million. SSE Thermal and Equinor will jointly own and operate Triton Power and focus on using the Triton Power portfolio as a platform to develop more low-carbon projects to support the transition to net zero, building on the decarbonisation work already carried out by Triton. Catherine Raw, Managing Director of SSE Thermal commented, “We are playing a leading role in the decarbonisation of the UK’s power system, and the acquisition of Triton Power will allow us, together with Equinor, to go even further. With the deal now completed, we look forward to working with Triton Power to explore decarbonisation opportunities at Saltend Power Station and at the other assets, all the while ensuring the plants continue to play their part in supplying the flexible energy needed to back up renewables.”

Some of the overseas deals that took place during this reporting period include the acquisition of Farringdon East (Jersey) Ltd by Chinachem Group Corporation Ltd; HS Credit (Birmingham) Ltd by Lee Shing Hong Capital Ltd; Secret Group Ltd by TodayTix Inc.; DAZN Group Ltd’s Goal brand by Integrated Media Company LLC; and GL Hearn Ltd by WSP Global Inc.

The manufacturing sector proved to be particularly busy during this trading period with a number of deals taking place. Some of these acquisitions include Calsonic Kansei Motherson Auto Products Ltd by Marellu (Hong Kong) Holdings Co., Ltd; DiSYS Technologies Ltd by Lindab AB; Nutravet (UK) Ltd by Swedencare AB; and Trac Precision Machining Ltd by RCapital Partners LLP.

To conclude, M&A activity in September spans across a number of sectors, with some significant deals contributing to this month’s overall figure. The UK maintains appeal from both the UK and global buyers, with active public trade buyers and private equity investors.

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