Middle market M&A activity remained steady in Q2 of 2025. Business Services transactions ticked up from Q1, with year-to-date volume reaching 1,705 deals, though median EBITDA multiples declined. Industrials experienced a similar lift in deal flow, climbing to 783 transactions year-to-date, with valuations holding firm at 9.3x compared to 8.8x last quarter. Despite broader compression in valuation multiples, premium pricing remains concentrated in sought-after sectors such as BPO Services, Environmental Services, Aerospace, and General Manufacturing.
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