In 2018, 534 mergers and acquisitions were announced in the engineering and construction industry, a 26.5% increase over 2017, and by far the highest level of activity recorded by FMI. This year, M&A activity should remain strong but return to more normal levels (i.e., 390-440 deals).
In FMI’s 2019 survey, nearly 60% of all respondents indicated that acquisitions were a part of their current strategy, down from 70% in last year’s report. And while more than half of respondents indicated they are less likely to make an acquisition this year compared to 2018, nearly two-thirds said M&A activity will increase in 2019 and 33% believe it will stay the same.
Reprinted courtesy of Joanna Masterson, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved.