Monthly Transaction Monitor | August 2020

Monthly Transaction Monitor | August 2020

In this first ever Monthly Transaction Monitor Report, we analyze deal volumes within our 6 Practice Groups on a monthly basis, evaluate the impact of COVID-19 on business valuations, compare various public indices highlighting relevant sectors/segments, and more.  

 

August 2020 Report Takeaways:  

 

  • Declines Have Been Pronounced, Perhaps Less Than Expected However
    •  
    • Control sale transaction volumes have declined significantly since the pandemic took hold of the U.S. economy in early March 2020
    • The decline appears to have reached a lower bound in May 2020, when deal volumes were down in aggregate by 51 percent versus the year-earlier period
  • A Modest Rebound Appears To Be Underway
    •  
    • The decline in closings persisted though July 2020 but it appears to have been less pronounced than in earlier months. July data is still being finalized, with preliminary data suggesting a 30-35 percent drop versus July 2019
  • The Extent of Valaution Degradation Remains Unclear But, As Always, It Depends On The Company/Industry Specific Circumstances
    •  
    • The public markets were hit hard by Covid-19, with the S&P 500 Index declining by nearly 31 percent from January 1 through March 23 – The S&P Industrials Index was hit even harder, down 40 percent during the same period

 

To read the full Monthly Transaction Monitor Report, download below

 

If you are interested in discussing any of the transaction analysis from this report, or if you would like to discuss your own acquisition goals contact Dan Shea below, or reach out  at (800) 849-7010 or info@objectivecp.com to be directed to the appropriate team member.   

 

About the Author:
Dan Shea

Managing Director

310.903.2163

dan.shea@objectivecp.com  

 


Disclosure

This news release is for informational purposes only and does not constitute an offer, invitation or recommendation to buy, sell, subscribe for or issue any securities. While the information provided herein is believed to be accurate and reliable, Objective Capital Partners and BA Securities, LLC make no representations or warranties, expressed or implied, as to the accuracy or completeness of such information. All information contained herein is preliminary, limited and subject to completion, correction or amendment. It should not be construed as investment, legal, or tax advice and may not be reproduced or distributed to any person.  Securities and investment banking services are offered through BA Securities, LLC Member FINRA, SIPC. Principals of Objective Capital are Registered Representatives of BA Securities. Objective Capital Partners and BA Securities are separate and unaffiliated entities.

 

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