Article
Texas regional M&A update: H1 2022
Sep 28, 2022 · Authored by
M&A activity in Texas shows positive trend in deal values
Middle market M&A activity in Texas saw an increase in average deal value but declined significantly in H1 2022 despite returning to pre-pandemic aggregate deal values.
- A total of 34 transactions were announced in H1 2022, down significantly from 72 in H2 2021
- The aggregate disclosed value of M&A transactions totaled $7.7 billion during H1 2022, a meaningful decrease from $14.9 billion in H2 2021
- The average value of reported deals grew to $249 million to start the year but dropped to $212M in Q2 2022
Texas middle market M&A transactions
Number of announced transactions (1)
Source: S&P Capital IQ
(1) Includes only transactions with disclosed enterprise value between $10 and $1 billion
Texas middle market M&A transactions
Aggregate value of announced transactions (1)
Source: S&P Capital IQ
(1) Includes only transactions with disclosed enterprise value between $10 and $1 billion
Strategic buyers continue to drive M&A activity
Based on number of announced transactions, strategic buyers continued to be the most active buyer type in the first and second quarters of 2022 in Texas. During H1 2022, strategic buyers represented 84% of announced transactions.
The information technology segment was the most active during the first half of 2022, accounting for 29% of M&A deals announced. The energy segment accounted for the second largest category for the period contributing 23% of transaction volume. Consumer discretionary and industrials segments both contributed 11%, independently making them third and fourth largest categories for the period
H2 2022 Texas middle market M&A transactions
Number of transactions by industry sector (1) (2)
Source: S&P Capital IQ
(1) Includes only transactions with disclosed enterprise value between $10 million and $1 billion.
(2) Percentages may not total 100% due to rounding.
Get the full picture
For an in-depth look at M&A activity in Texas, download a copy of the Texas regional M&A update: H1 2022. The report includes:
- Regional market activity
- Transaction data for middle market M&A activity
- M&A activity by market segment
Mergers and acquisitions reports
See more M&A reports
Baker Tilly Capital professionals develop mergers and acquisitions (M&A) updates in different industries and regions. These reports provide an overview of M&A activity, including:
- M&A activity by market segment
- Transaction data for middle market M&A activity
- Buyers and targets by location
- Notable transactions closed during the period of the report
To view more on this topic or learn how Baker Tilly specialists can help, contact our team.