January 10, 2023
Woodbridge International, a global mergers and acquisitions firm and leader in the lower middle market, took the market by storm in 2022, having successfully sold 32 business sales, generating $619 million in liquidity for clients, contrasting industry expert predictions. Three deals were closed in December alone, contrasting theories that the market would be on hold until after the New Year.
Robert Koenig, Woodbridge International founder, and CEO states that “Despite the slowdown in the large-deal segment of the M&A market, we live in the lower middle market; transactions in the $5 million to $100 million range. This segment has continued to thrive, as it is less affected by interest rate hikes. There are always many buyers looking for transactions at this market level.” He continued, “All indications point to a positive forecast in 2023.”
Research and trends don’t point to specific industries as leaders in business sales in 2022. Rather Woodbridge International analysts point to businesses with solid operating processes that consistently perform well in up as well as down markets are primed for sale.
“We’ve sold businesses in every economy, even during the Great Recession in 2009! The key is, how is the underlying business performing? If the owners wish to sell and the company is performing at a level that will provide them with sufficient cash from the sale, then this is an excellent time to sell!” exclaims Larry Reinharz, Senior Managing Director/Partner New Business at Woodbridge International.
These were the top industries in the lower middle market sold by Woodbridge International in 2022 (not indicative of other markets):
Celebrating 30 years of success, Woodbridge International’s ground-breaking approach to marketing a company globally has transformed the way the sell-side M&A industry does business.