European entry multiples rebound in Q2
Following a dip in Q1 2016, entry multiples for European private-equity-backed buyouts have rebounded in the second quarter of this year, according to research produced by Clearwater International and unquoteт.
The Nordic region and France were home to the highest multiples with an average of more than 11x EBITDA, according to the latest instalment of the Multiples Heatmap report.
The research also shows a significant rise in valuations for companies in southern Europe. The region saw averages rise to 10.3X EBITDA, surpassing the 10.1X EBITDA figure seen in the UK & Ireland.
The sectors commanding the highest entry multiples were the financial services space – which at 12.6x EBITDA was the most expensive – and healthcare. The 11.3x average seen in healthcare curbs a trend of five successive quarters of deflation within the segment.
At the other end of the scale, the most affordable opportunities lay in the industrials and chemicals space, as well as the food and beverages sector, which both recorded multiples of 9x EBITDA.
Click here to download the latest update of the Multiples Heatmap for Q2 2016, published by unquote" in association with Clearwater International.
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