Building Products & Services
Sector Insights 2021
18 May 2021
In association with:
Welcome to the 2021 edition of our Building Products & Services sector insights, which we are pleased to launch amid a much improved outlook compared to this time last year.
Building Products & Services is fortunate in being seen as an essential industry, and the sector has shown impressive resilience. While deal volumes declined in 2020, the impact was not felt as much as might have been feared, with businesses adapting quickly to new market conditions and addressing challenges faced in operating safely.
With valuable input from industry leaders and the Construction Products Association, this year’s publication explores key themes that are shaping the sector, and what this means for M&A globally, and in the UK. COVID-19 has accelerated the trends towards sustainability and digitalisation that were previously evident in the market, while the promise of economy-rescuing infrastructure investment leaves many Building Products & Services companies poised for a boost in the coming months and years. We also examine the impact of the pandemic and Brexit on the sector, outlining a framework to help businesses position for the future.
We also explore key trends in the M&A market, analysing over 5,000 transactions completed in the last eight years and examine the outlook for M&A. Many opportunities are arising from portfolio reviews, corporates streamlining operations through carve-outs, and significant cash available in the private equity market to invest in attractive businesses.
But corporate transactions remain as complex as ever, and there are additional challenges to be considered as businesses navigate through this period of upheaval and complexity, so it’s important to seek sector-focused expert advice.
Our global Building Products & Services M&A team has been one of the most active advisory houses in the sector: in 2020 alone we completed over 150 deals in the sector. We have extensive coverage in key capital markets, access to private equity and work closely with owner managed businesses. If you’re thinking of embarking on M&A, or would like to discuss any of the issues arising from our publication, please do get in touch.