Media M&A Stats Solid, Value Skyrockets To $97B In 2013

Media/marketing deals remained relatively the same in 2013 versus the previous year, but total dollar value soared -- nearly 30%, due in large part to the Publicis-Omnicom merger. Total market value was $97.3 billion -- up from $75.8 billion, according to New York investment banker Berkery Noyes, with the number of deals about the same at 1,673 in 2013 from 1,667 deals in 2012 and up 6% from 1,582 in 2011.

The Publicis-Omnicom merger -- a $20.5 billion deal -- represented 21% of the entire media and acquisition dealing in 2013.

In terms of key metrics -- median revenue multiples and EBITDA, earnings before interest, taxes, depreciation and amortization (cash flow) -- data perked up. Buying multiples rose to two times revenues in 2013 from 1.4 times in 2012. Cash-flow buying multiples climbed to 9.7 times EBITDA from 8 times in 2012.

In terms of the number of deals, the consumer publishing category was the most active -- up 16% to 193 transactions. Broadcasting had the largest increase in terms of volume, more than tripling to $13.34 billion from $3.95 billion.

The two biggest deals: Tribune buying Local TV LLC for $2.71 billion and Gannett Co. acquiring Belo Corp. for $2.18 billion.

Tags: deals, m&a, media, metrics
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