When discussing merger and acquisition (M&A) activity in the adhesives and sealants industry over the last several years, we have found ourselves repeating many of the same themes: buyers are active and aggressive; “bolt-ons” of small- and mid-sized companies remain a key focus; cross-border activity is prominent; and capital from lenders and private equity groups is abundant.
As we review M&A activity in 2018 and begin looking ahead to 2019, we see each of these key themes again taking center stage. While the business cycle may be starting to reach the later innings, conditions for mergers, acquisitions, and divestitures remain very favorable, and we would not be surprised to see this market persist for quite some time.