Posted on 8 September 2015
Smith Cooper’s Nottingham CF team wrapped up two deals in the packing sector on consecutive July afternoons. The first created a major new force in the Midlands, the second a strategic diversification for a fast-growing packaging group.
The packaging market as a whole has seen a real surge in M&A since mid-2014, with larger cross-border activity now filtering down to the UK mid-market. Multiples also appear to be on the rise, with multiples now commonly in the range 8-9 (EBITDA) for larger deals, positively impacting on mid-market pricing.
The resurgence of M&A activity has been in part facilitated by the availability of debt finance and a renewed appetite from PE houses, as well as the return of pre-recessionary consolidators.