THE TOTAL value of private equity deals in Scotland jumped by five per cent in 2019, with £2.3bn of transactions completed.
The latest figures from the Centre for Management Buyout Research (CMBOR), sponsored by Equistone Partners Europe and Investec Specialist Bank, show that while deal value increased, the number of deals this year remained the same as the previous year (10) – a 25 per cent increase from 2017.
Scottish private equity transactions are also climbing the ranks when compared to its regional counterparts, accounting for 10 per cent of total UK deals (186) this year, after having contributed just three per cent in 2018.
These figures are made up of a number of significant deals in the region, including the acquisition of global provider of mission-critical air and gas handling products Howden by Colfax Corporation to KPS Capital Partners for £1.4bn. Hillhouse Capital Management also completed the £400m purchase of one of Loch Lomond Group, one of Scotland’s most historic and iconic whisky producers, from Exponent Private Equity.
Andi Tomkinson, Partner at Equistone Partners Europe, said: “While the overall value of UK transactions fell again in 2019, this is perhaps unsurprising considering the recent unstable economic outlook, and it is encouraging to see the value of Scottish deals climbing.
“With the general election over, it will be interesting to reflect on how this impacts investment in 2020 – this may lead to a jump in both value and volume of deals in the Scotland and the UK as a whole.”
