Update on the Robotics M&A Market
Update on the robotics M&A market
Modern robotics is paving the way for the next generation of industry, as less expensive and more advanced hardware combines with machine learning, better connectivity and edge computing, allowing more companies of all sizes to adopt the technology. This rapid progress in tandem with increasing customer demand is rebounding on the robotics industry, which itself must adapt to new technologies and changing client needs. Unsurprisingly, these game-changing technologies and shifting industry dynamics are having a big impact on the robotics M&A market, which continues to thrive.
Despite the recent decline in price multiples of robotics transactions, we still see very attractive valuations and an increasing appetite, especially for midsized robotics companies. These are often acquired by larger, international companies. Hence, global access to these buyers is key for a robotics M&A transaction.JÜRG STUCKER, OAKLINS HEAD OF ROBOTICS TEAM
A growing number of transactions
During the first half of 2019, a total of 191 robotics industry transactions were completed. Of these, 116 were for machine vision and sensing equipment companies, while 75 involved companies active in robotics, process and computerized control. Given that more deals generally close in the second half of the year, the number of completed deals for 2019 is likely to exceed 400, possibly matching or exceeding the totals for 2018. Over the past seven years, the number of transactions involving European and North American companies has generally risen year-to-year. This reflects the robotics market’s strong growth and technological progress—especially in the field of artificial intelligence— and that major market players are on the lookout for technologies that will increase the autonomy of their products. As in previous years, during the first six months of 2019 the largest share of deals, or about two-thirds of the total, took place in the machine vision and sensing equipment sector.
Oaklins’ specialists Dr. Jürg Stucker and David Zürrer examine trends in this thriving market, such as buyer structures, global deals and price multiples. They also look at areas of growth and opportunities within the industry.
Download the report
For more expert commentary in this sector, download a full version of this report as PDF.
