Middle Market Weekly Outlook

Several large deals announced recently have propelled 2015 M&A past 2007 levels and up 49% since last year. Among the hottest industries for corporate finance action this year is healthcare. Many of the sector’s dynamics—rampant fragmentation, accelerating pressure to reduce costs, new purchasing patterns and robust exit channels—make it an attractive target for private equity investors and strategic buyers alike. Together with the telecom and tech sectors, the three sectors account for just under 60% of deal volume so far this year.

Transactions:

• RDG Capital makes bid for Rosetta Stone
• Family Dollar sells stores to Sycamore Capital
• Liquid Web to sell to Madison Dearborn
• Pure Gym Buys LA Fitness
• Hormel to Buy Applegate Farms
• Nokia is buying Eden Rock Communications
• Veritas Capital adds StandardAero
• Platte River Equity acquires Profile Products
• Huron Capital Acquires its 100th Company

Opinions:

• M&A’s Tremendous Trio
• U.S. M&A is best since 2007
• Where banks need to focus if they want to outperform
• Post Charter Time Warner Deal, M&A Bingo for Bankers
• May on Track to Set Record for U.S. M&A Activity
• Tech firms seek ways to fend off activist investors
• Large US endowments cut allocations to private equity
• How Private Equity Investors Can Win In The Crowded Healthcare Arena
• Private Equity Deals Fell in April
• Why Private Equity is Investing in Small Organic Farmers
• Where Have All the IPOs Gone?
• SEC issues fresh warning to private equity
• 5 Investment Banks for Baby Boomers Ready Sell Their Businesses
• A big week for corruption charges and M&A
• Tech Execs Confident that M&A will Continue to Surge
• UVIMCO chief says PE ‘fee drag is tremendous’

This week in history…Tobacco titan R.J. Reynolds Industries begins a short but intense courtship of National Brands Inc. (Nabisco) which would end in the formation of a $4.9 billion company (1985).