BDO Capital Business Services Q2 2021 M&A Market Update

June 2021


Following a robust quarter of dealmaking in Q4 2020, M&A activity went into overdrive in Q1 2021. Overarching market themes, including access to low cost of capital, a projected macroeconomic recovery and companies’ migration to business digitization served as catalysts for Q1 2021 transaction volume, bolstering the Business Services sector. These market influencers, together with the prospect of tax hikes, are expected to remain prevalent, driving M&A activity through the end of the year.

Digitization of the economy in the post-pandemic era has fueled the adoption of advanced technologies and cloud-based platforms, triggering the demand for outsourced IT and specialty consulting services to address the rise in data backup, data security and system upgrades. Read the full update to learn about sector activity, valuation trends and more.