The report revealed 410 cybersecurity M&A offers introduced globally throughout 2022, with the disclosed worth of those offers totalling $48.3 billion, a 14.6% decline in deal quantity and an enormous 56.7% decline in deal worth in comparison with 2021.
“Although overall M&A activity remained subdued for the sector, the decline is more prominent in terms of value than volume, suggesting that investors were increasingly cautious in committing to big investments amid volatile market conditions,” stated Aurojyoti Bose, lead analyst at GlobalData.
Cybersecurity M&A deal quantity over time
According to GlobalData’s report, M&A deal quantity remained above 400 for the fourth consecutive yr.
In 2021, M&A deal quantity reached an all-time excessive, with 480 deal bulletins. In 2022, regardless of struggling a 14.6% year-on-year (YoY) decline, the deal quantity remained over 400.
Cybersecurity M&A deal worth over time
In 2018, complete M&A deal worth within the cybersecurity area reached an all-time excessive at $126.7 billion on the again of some high-value transactions.
Similarly, in 2021, complete M&A deal worth remained considerably excessive and stayed above $100 billion as a result of announcement of big-ticket offers, such because the acquisition of McAfee for $14 billion by a consortium (composed of Advent International, Crosspoint Capital Partners, Permira Holdings, CPP, and GIC) and Thoma Bravo’s acquisition of Proofpoint for $12.3 billion, amongst others.
However, 2022 didn’t have introduced offers valued at over $10 billion.
“Resultantly, there was a massive Y-o-Y drop in total deal value in 2022,” Bose stated.