M&A Quarterly Newsletter – March 2026
by Taureau Group
Market Summary
- Average purchase price multiples declined in 4Q 2025 to 6.9x TTM Adjusted EBITDA, compared to 7.5x in 3Q 2025. However, on a full-year basis, valuations held steady at 7.2x, underscoring that pricing stability was largely maintained despite materially lower deal volume.
- Valuations on companies with TEV between $10 million and $25 million averaged of 5.7x in 4Q 2025, down from 6.4x in 3Q 2025.
- The industries showing the highest EBITDA multiples in 4Q 2025 were healthcare services at 8.5x and retail at 7.5x.
- EBITDA multiples for all manufacturing companies averaged 6.6x for full-year 2025, decreasing from 7.0x in 2024.
- Add-ons accounted for 31% of buyouts through 4Q, down from approximately 41% through the first half of 2025, reflecting a moderation in competition rather than a loss of sponsor interest.
- On a rolling four-quarter basis, average total debt declined to 3.6x TTM EBITDA, reinforcing that leverage expansion in 4Q was insufficient to offset cumulative tightening earlier in the year.
- Manufacturing platform maintained relatively stable total debt at 3.2x EBITDA, though leverage remained below the historical average of 3.4x.
What’s New at Taureau Group
- January – Completed the sale of Performance Stamping, LLC, an affiliate of Willis & Smith Capital, to Colfax Creek.
- January – Completed the recapitalization of Page Per Page to Chicago Capital Partners.
- January – Taureau Group published its 2025 Healthcare & Medical Device Industry Report. Download the report here.
- January – Completed the acquisition of key assets of Forest City Erectors for Red Cedar Steel.
- January– Completed the acquisition of key assets of Seaside Casual Furniture for Sister Bay Furniture Company, a subsidiary of the Prestwick Group.
- February – Ann Hanna was a guest bartender at Blu at the Pfister to raise funds for BizStarts.
- February – Taureau Group announced the promotions of Tyler Carlson to Managing Director and Zach Zarr to Associate.
- February – Engaged by lifting equipment manufacturer for consideration of potential sale.
- March – Engaged by custom installation services provider for consideration of potential sale.
- March – Taureau Group returned as a sponsor of BizTimes Media’s 19th Annual M&A Forum, with Ann Hanna guiding a panel discussion as moderator and Michael Schroeder and Nick Mydlach providing technical insight into the current deal-making environment.
- March – Jake Mende joined the shareholder group at Taureau Group.
The 2025 year-end rebound in lower middle-market deal volume highlights a resilient market where pricing discipline and stability remain the hallmarks of high-quality transactions.
Active Broad Acquisition Searches
- Acquisition opportunities for a private equity platform company looking for commercial door and other warehouse equipment manufacturers with revenues between $1 million – $30 million.
- Acquisition opportunities for a private equity platform company looking for providers of multi-site facility services in commercial end markets with revenues of $15+ million.
- Acquisition opportunities for a private equity platform company looking for contract manufacturing companies specializing in medical devices with revenues of $5+ million.
- Acquisition opportunities for a private equity platform company looking for aerospace, defense and space exploration components manufacturers with revenues between $5 million – $30 million.
- Acquisition opportunities for an employee-owned company looking for advanced fabrication and VDC services; modular systems and data centers with revenues between $25 million – $100 million.
- Acquisition opportunities for a private equity platform company looking for work-holding products manufacturers and machine tool accessories companies with revenues between $1 million – $50 million.
- Acquisition opportunities for a private equity platform company looking for manufacturers with plastic injection molding, machining, or fabrication capabilities with revenues between $5 million – $15 million.
- Public company looking for branded consumer outdoor recreation companies with revenues between $5 million – $100 million.
- Private company looking for product-based manufacturers in robust end markets with revenues between $1 million – $10 million.
- Private company looking for technical advisory and professional services providers with revenues between $1 million – $10 million.
Featured Insights
- Why the Specialty Contracting Market is Moving: The Structured Shift – Read the article here.
- 2026 Industrials Outlook: Navigating the “Divided Economy” – Read the article here.
Market Statistics
Total Enterprise Value (TEV)/EBITDA*
| TEV | ’03-20 | ’21 | ’22 | ’23 | ’24 | YTD’25 | Total |
|---|---|---|---|---|---|---|---|
| 10-25 | 5.8 | 6.1 | 6.4 | 5.9 | 6.4 | 6.2 | 5.9 |
| 25-50 | 6.5 | 7.2 | 7.1 | 6.9 | 6.8 | 6.8 | 6.7 |
| 50-100 | 7.5 | 8.3 | 8.5 | 8.1 | 8.1 | 8.0 | 7.7 |
| 100-250 | 8.3 | 9.3 | 9.2 | 9.5 | 8.5 | 9.7 | 8.6 |
| Total | 6.7 | 7.6 | 7.6 | 7.2 | 7.2 | 7.2 | 6.9 |
TEV/EBITDA—By Industry ($10-$250M TEV)*
| Industry | ’03-20 | ’21 | ’22 | ’23 | ’24 | YTD’25 | Total |
|---|---|---|---|---|---|---|---|
| Manufacturing | 6.2 | 7.2 | 7.4 | 6.5 | 7.0 | 6.6 | 6.4 |
| Business services | 6.7 | 7.3 | 7.4 | 7.2 | 7.2 | 7.4 | 7.0 |
| Health care services | 7.4 | 8.1 | 8.4 | 8.9 | 7.7 | 8.5 | 7.7 |
| Retail | 7.0 | 8.4 | 8.0 | 6.0 | 7.4 | 7.5 | 7.1 |
| Distribution | 6.7 | 7.2 | 7.1 | 7.1 | 6.9 | 6.9 | 6.8 |
| Media & Telecom | 7.6 | 7.0 | 8.3 | 7.8 | 6.7 | 6.9 | 7.5 |
| Technology | 8.4 | 10.3 | 8.1 | 10.2 | 7.9 | 6.4 | 8.5 |
| Other | 6.3 | 7.3 | 7.0 | 6.9 | 7.0 | 6.8 | 6.5 |
Senior Debt/EBITDA—Splits by Period (platforms only)*
| TEV | 1Q24 | 2Q24 | 3Q24 | 4Q24 | 1Q25 | 2Q25 | 3Q25 | 4Q25 |
|---|---|---|---|---|---|---|---|---|
| 10-25 | 2.3 | 1.7 | 1.8 | 1.6 | 2.0 | 1.3 | 1.2 | 1.4 |
| 25-50 | 1.9 | 2.0 | 2.4 | 2.4 | 2.6 | 1.8 | 1.3 | 2.5 |
| 50-100 | 2.5 | 2.6 | 3.1 | 2.7 | 2.7 | 2.2 | 2.3 | 2.2 |
| 100-250 | 3.0 | 2.8 | 2.8 | 3.8 | 3.8 | 3.9 | 2.6 | 3.5 |
| Total | 2.2 | 2.3 | 2.7 | 2.8 | 2.7 | 2.0 | 2.0 | 2.2 |
*Source: GF Data®. Information included from GF Data may not be used or re-published without permission from GF Data or Taureau Group.