Contact

Industrial Manufacturing : Analysis of Investment Trends in the Sector


, , ,
Integral service around a transaction
BY : Diego GutiérrezMarch Tue, 2020

Since 2005, more than 465 companies have been created in the industrial manufacturing sector. The project has raised more than three billion dollars in private financing. 172 investments have been made in the Seed or seed and 46 in Early Stages. In addition, there have been 531 acquisitions and 10 IPOs or IPOs. IPOs.

Industrial Manufacturing

Industrial Manufacturing

INVESTMENTS BY ROUNDS

The investment trend in the Industrial Manufacturing sector has been clearly upward since our base year. However, it can be said that this trend has intensified since 2015, with more financing rounds launched and with more capital intensive rounds. 2016 and 2017 were the golden years, where more than USD 600 million was raised in each of the years.

Although the amount of financing raised has been reduced in 2019, there have been particularly important and relevant investments for the sector. For example, the Korean energy and chemicals conglomerate Hanwha Systems invested USD 25 million in a first round (Series A) investment in a start-up company in the sector. In addition, the Chinese investment company GF Qianhe Investment injected USD 15 million into another new company. Another significant transaction was the Endeit Capitalwhich provided $18 million worth of funding to a company in its C round.

MERGERS AND ACQUISITIONS RECENT

2018 was the year of acquisitions for the manufacturing sector, with a total of 56 deals. 2017 was no slouch either, with 49 company acquisitions worldwide.

The most active company in acquisitions has been the American multinational Lincoln Electric Holdingswith a total of 20 acquisitions since 2005. Lincoln Electric Holdings' most recent acquisitions have been Worthington Industries - Soldering Business in June 2019, Baker Industries in April of the same year and Coldwater Machine Company

Our diferentiation

Market Research Technology
Our team of market analysis specialists is continuously analyzing the investments of the most active markets in the industry in order to unceasingly contribute ideas of the current market situation and identify the most relevant trends for senior management. We integrate the most relevant sources of information which allows us to discover the most interesting companies for venture capital and similarly helps us to identify the investors with the highest probability of involvement in an M&A process to ensure the success of our sell-side operations.

The reports and deductions of our advisors provide a broad view of the sector, both geographically and from the complementary or adjacent markets perspective.
Technology Data Analytics
for M&A
Advanced data anlytics is a weapon". Intelfin is an artificial intelligence tool we use for investing and creating value in SMEs through competitive analytics and the enterprise environment.

IntelFin consists of a cognitive system, which, through the application of advanced analytical technologies, facilitates the automation of investment and financing decisions in the field of non-listed companies and especially SMEs in high-growth sectors.

The information related to these companies is characterized by their lack of transparency and heterogeneity; thus, it is necessary to develop an advanced analysis which is as much predictive as prescriptive and is developed in a natural language custom, suitable to obtain greater clarity and knowledge of the investment scope.

The IntelFin system focuses especially on analyzing the variables that define and influence the competitive environment of a sector and the positioning of a company, analyzing their influence on future value creation. Therefore, IntelFin supports strategic decision-making to senior management by resolving questions such as:

¿What are my competitors' priorities, strategies and expansion plans? Who's my competition? Which competitor is most likely to grow at a higher rate?
Which areas of activity/business models will receive the most investment? Which sectors are most attractive to investors?
Which companies are going to experience the most growth in the near future? Which companies are most likely to receive investment or be acquired?
Training Methodology
We have developed training programs in an innovative set-up which guarantees our teams the acquisition of technical competences both in the field of corporate finance and in the field of psychology, that is much needed when it comes to negotiation processes.

We have a culture of continuous improvement of our processes, closely related to the use of information systems that allow the enhancement of internal communication between our teams, as well as external communication with our customers. Hence, we extend best practices identified internally in an efficient and rapid manner among our members.

Are you one of those who prefer to be well informed when making decisions?

M&A NEWS
INDUSTRIAL REPORTS
closearrow-circle-o-downchevron-downcrossmenu