California regional M&A update: H1 2022

M&A activity in California plunges in H1 2022

After a positive trend in 2021, middle market M&A activity in California declined significantly in the first half of 2022, making it the lowest recorded total in recent years. The average value of reported deals remained flat in the first and second quarters of 2022.

• A total number of 72 transactions were closed in the first half of 2022, a decrease compared to 184 in the second half of 2021
• The aggregated disclosed value of M&A transactions in the first half of 2022 totaled $11.2 billion, a significant decrease from $38.9 billion in the second half of 2021

California middle market M&A transactions
Number of closed transactions (1)

Source: S&P Capital IQ
(1) Includes only transactions with disclosed enterprise value between $10 million and $1 billion.

California middle market M&A transactions
Aggregate value of closed transactions (1)

Source: S&P Capital IQ
(1) Includes only transactions with disclosed enterprise value between $10 million and $1 billion.