M&A Summary: Q4 2018 - Manufacturing
February 20, 2019
Deals involving Canadian manufacturing businesses were down slightly in Q4 2018, with 18 deals announced or closed during the period. This represents a decrease from the fourth quarter of 2017, which had 22 transactions involving Canadian manufacturers. Similar to other quarters in 2018 compared to 2017, activity was likely impacted by significant changes to taxation policies in the U.S., volatile equity markets, geopolitical uncertainty, and trade disputes. Despite these challenges, the composition of transactions representing cross-border deals remained consistent.
Entering 2019, macro factors will continue to have an impact on the manufacturing M&A landscape. Businesses will focus on identifying buyers who have an appetite to transact, despite macro uncertainty.
Q4 Transaction Highlights
| 1. ATS Automation Tooling Systems Inc. (TSX:ATA) |
A Canadian automatic solutions provider, announced that they will acquire Comecer S.p.A. an Italian pharmaceutical developer and manufacturer, for C$173.34 million In December 2018. |
| 2. Canada Goose Holdings Inc. (TSX: GOOS) |
A Canadian outerwear manufacturer, acquired Baffin Inc., a Canadian manufacturer of outdoor and Industrial boots, for C$32.5 million in November 2018. |
| 3. Gardner Denver Holdings Inc. (NYSE: GDI) |
A U.S. provider of compression equipment, acquired DV Systems, a Barrie, Ontario-based aftermarket parts manufacturer, In November 2018. |
| 4. Evertz Technologies Limited (TSX:ET) |
A Canadian video and audio Infrastructure manufacturer, acquired Quintech Electronics & Communication Inc., an American technology manufacturer, for C$8.65 million in November 2018. |
| 5. HarbourVest Partners. LCC |
A global private equity firm. announced they will acquire Knowlton Development Corporation, a diverse Canadian manufacturer, In November 2018. |
Michael Gillespie
National Leader, Manufacturing Practice
Ryan Farkas
Partner, National Corporate Finance Leader