West Midlands manufacturers saw a 12.5% increase in M&A deals (mergers and acquisitions) last year as a result of improved economic confidence and an increase in private-equity interest in the sector, according to the latest data and analysis from Experian and law firm Irwin Mitchell.
Manufacturers in the region were the target of 81 deals during 2014. This compares to 72 the previous year, and is the highest annual number of transactions completed since 2008.
A total of 27 deals were completed in the final quarter — the largest number of transactions in the last three months of the year since the survey began and 35% more than the number of deals in the same period of 2013.
Nick Dawson, corporate and commercial partner at the Birmingham office of Irwin Mitchell, said: “The West Midlands region has performed extremely well during 2014 in terms of manufacturing, and confidence within the sector has certainly contributed to a big increase in the levels of private-equity backing.
"We believe that 'deal flow' within the sector will remain strong; and although recent surveys have pointed to a tough December for manufacturers generally, the sector has remained resilient and has continued to grow.”