M&A volume was up from Q4. There was an improvement in Q1, “growing 21% over 4Q22,” however we note that Q1 2023 volume of deals (855) was well below Q1 2022 (1120). Late 2021 and early 2022 saw crazy volumes. 2019 and 2020 were much more normalized periods, and Q1 2023 (855 deals) was above the Q1 2029 level (692), Q1 2020 level (726), and even Q1 2021 (780). That was a lot of numbers. In summary, while we may be down from 2022, the market is still healthy relative to a longer historical lookback to Q1 2019. We are normalizing.
Our view: the market is normalizing to a very healthy level. The great M&A market we saw in late 2021 and early 2022 may be over, but the market is still good. We’d call it healthy. Big thanks to SEG for putting the data together.
Sammy is the Managing Partner and Co-Founder of Blossom Street Ventures. Visit us at blossomstreetventures.com and email directly at sammy@blossomstreetventures.comhttps://blossomstreetventures.com/metrics/
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