04/17/2019 | News release | Distributed by Public on 04/17/2019 16:43
The engineering and construction market sector saw a record level of merger and acquisition (M&A) activity in 2018, including a 25 percent increase over the year prior, according to a report just released by FMI Corporation.
In its '2019 M&A Trends for Engineering and Construction' report, FMI noted that while M&A activity in the engineering and construction sector is likely to remain strong in 2019, it also likely will return to more historic levels. 'The key drivers of acquisition activity remain, including demographic succession needs and the desire for buyers to grow and diversify their business, expand service and capabilities, and address the shortage of qualified labor in the industry,' said Alex Miller, a managing director with FMI Capital Advisors, Inc. and author of the report.
Nearly 60 percent of all current survey respondents said that acquisitions were part of the current business strategy, down from 70 percent who said the same in last year's survey. FMI said it expects acquisition levels to return to what they were back in 2017.
Some of the report's other key findings include:
To read the full FMI report, go to https://www.fminet.com/reports.