The UK M&A industry has been particularly active throughout the first few months of 2017, and as we enter the second half of the year, the market is proving to be stronger than ever.
According to company deals database, Zephyr, over 170 deals involving UK targets were completed in June 2017, a figure which represents an increase of 70% on the deal volumes witnessed during the month of May.
The most valuable UK deal completed during the month of June was undoubtedly the £1.9bn acquisition of MBNA Ltd by Lloyds Banking Group plc. Headquartered in Chester, MBNA is a globally renowned credit card firm that has been providing competitive rates and added rewards to customers since 1993.
The deal represented Lloyds’ first transaction since the financial crisis. Lloyds’ CEO, Antonio Horta-Osario, stated that the purchase of MBNA “increases our participation in the UK prime credit card market, where we are underrepresented, and strengthens our position as a UK focused retail and commercial bank”.
Second to the acquisition of MBNA lies Greenrock Bidco Ltd’s purchase of Exova Group plc, one of the world’s largest and most respected laboratory testing and calibration companies. As the acquiring entity, Greenrock Bidco assisted Element Materials Technology Group in its £620m purchase of Exova Group.
June also saw the £500m acquisition of The Office Group Ltd, a provider of flexible workspace to established businesses in London, alongside start-ups, entrepreneurs and freelancers. Private equity giant, The Blackstone Group LP, decided to snap up The Office Group having identified the recent popularity of flexible workspace and the upcoming demand for more locations.
According to Zephyr, the disclosed deal values witnessed throughout the month of June generated a staggering, combined value of £4.48bn, and with many more deals agreed, the UK M&A industry is expected to become even more active in the months to follow.
If you are interested in learning more about your company’s worth amid the favourable UK market conditions, feel free to fill in our free valuation calculator today, or get in touch with one of our professional advisors who can guide you through the process.