Online Middle-Market Deal Matching
Welcome. This presentation is meant to give greater insight to one of the many features of Investmentbank.com. Here we will discuss the Deal Matching system. Since 2007, online deal platforms have sought to make deal sourcing and closing more efficient for investment banks, private equity firms and acquiring companies. As a result, the market is seeing more and more deals being sourced online, especially in the middle market.
Except for the dip that occurred as a result of the Great Recession of 2008 and 2009 the total deal count in the middle market has steadily increased since 2004.
In addition, the percentage changes for both volume and deal count in the middle market have fluctuated greatly over the same time period. The fluctuations and changes in volume and count are a macro trend that has been someone alleviated by the use of a more efficient, organized way of sourcing deals. As the volume of overall deals increases, so do the percentage of deals sourced and closed via digital channels.
These are some of the hottest sectors in middle market, as sectors continue to boom we can see more being done online. These top ten sectors range from real estate to commercial services to telecommunications.
Online deal sourcing is becoming more prevalent for active financial and strategic buyers. For instance, 45% of buy side deals have closed a deal using an online platform. 39% of sell side operators have closed a deal using online platform and 62% of deal-makers agreed that online deal sourcing allows them to identify counterparties they otherwise would not have found. 50% market 1 deal and 28% market at least 5 deals. On the buy-side, nearly 85% of respondents who use deal sourcing networks reported that they source deal opportunities online. And finally, 44% reported that their firms source between 11% and 50% of their total deal flow online.
Investmentbank.com’s deal matching feature is centered around three groups: Investors, Issuers and Intermediaries.Investors use Investmentbank.com to get matched with corporate issuers seeking growth, recapitalization and qualified deal opportunities across the private markets.
- Connects issuers with the “best fit” advisors & capital providers (Investors)
- Greater efficiency and networking for matching opportunities & investors
Issuers, or CEOs, use the deal matching feature to seek growth opportunities, acquire capital and to sell their businesses.
Intermediaries, or advisors of financial services, use the deal matching feature to connect investors and issuers, access reliable data, and for an efficient deal process.
- Advisors find issuer CEOs seeking transactions
- Real-time demand data is used to to win engagements
- Sourcing capital providers for clients
- More efficient overall deal management
- More broad, targeted deal marketing and outreach through blind sell-side and capital raise postings on a private network
Thank you for watching and please let us know if you have any questions.
- Covid-19 Impact on US Private Capital Raising Activity in 2020 - May 27, 2021
- Healthcare 2021: Trends, M&A & Valuations - May 19, 2021
- 2021 Outlook on Media & Telecom M&A Transactions - May 12, 2021
