Advisory

M&A quarterly dealtracker high tech industry

Wouter Wolzak Wouter Wolzak

In our quarterly dealtracker updates we analyse mergers and acquisitions for the high tech industry. We highlight the following aspects of this sector from an M&A perspective:

  • An overview of the Dutch transactions.
  • A description of what is happening in terms of valuations and number of transactions.
  • A further analysis in terms of geographies and sub-sectors.

2019 2nd quarter

The number of M&A transactions in the Dutch tech sector has stabilized to 16 in the second quarter of 2019. This is comparable to the total number in the first quarter (14). In Europe we see a decline in the number of transactions, but a recovery of the valuations since the end of 2018.

An interesting theme we observe in the M&A activity among Dutch tech companies is sustainability. Out of the 16 transactions at least half have a rationale behind them that relate to sustainability.

We expect this theme to remain a key driver for M&A activity. At the end of 2015 world leaders and governments signed the Paris Agreement on reducing the carbon footprint and big companies worldwide are working on green solutions to reduce CO2 emission.

For listed technology companies in the Netherlands we also observe that the sustainable companies have the highest revenue growth outlook. Fueled by a drive to sustainability companies like Alfen and Sif are expected by annalists to grow their revenues by over 40%

Download PDF Dealtracker 2019 Q2 - High tech industry - Grant Thornton
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2019 1st quarter

There continues to be a lot of interest in technology companies. Despite a lower number of transactions in the EU and lower valuations for listed companies in the Netherlands, the outlook for M&A in the technology sector remains strong. Technology is getting further ingrained in our lives and everybody needs tech. This quarter we have seen a number of non-tech companies like McDonalds, Fidelity and Bridgestone make technology acquisitions. As a consequence we see that the EBITDA multiples for technology transactions remain high and are even rising.

 

Download PDF Dealtracker 2019 Q1 - High tech industry - Grant Thornton
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2018 4th quarter

High tech sector remains stable in terms of deal activity

The technology sector is an important sector for M&A. Important motivations for M&A in the technology sector are: acquiring a core technology, supply chain consolidation and general consolidation. In the long-term the outlook for technology driven M&A remains strong, driven by themes like cybersecurity, artificial intelligence and industry 4.0. In the short-term political tensions and, moving in tandem, lower valuations depress deal activity.

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2018 3rd quarter

Dutch high tech sector remains attractive, despite somewhat lower deal volumes

The Netherlands have a strong high tech sector, especially when it comes to semiconductors, sensor technology and high tech systems. Important motivations for M&A in the technology sector are: acquiring a core technology, supply chain consolidation and general consolidation. In the third quarter of 2018 we observe a maturity of the deals related to the food tech and sensortechnology sectors.

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2018 2nd quarter

Dutch high tech sector remains attractive despite somewhat lower deal volumes

The Netherlands has a strong high tech sector, especially when it comes to semiconductors, sensor technology and high-tech systems. Important motivations for M&A in the technology sector are: acquiring a core technology, supply chain consolidation and general consolidation.

Download PDF
Download PDF [ 495 kb ]

2018 1st quarter

Dutch high tech sector remains attractive despite somewhat lower deal volumes

The Netherlands has a strong high tech sector, especially when it comes to semiconductors, sensor technology and high-tech systems. Important motivations for M&A in the technology sector are: acquiring a core technology, supply chain consolidation and general consolidation.

Download PDF
Download PDF [ 499 kb ]

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