The dollar volume of mergers and acquisitions in the publishing, information and training sectors fell precipitously in the first quarter 2001 when compared to the same period a year ago. According to Whitestone Communications (New York), which tracks M&A activity for its annual "Who's Buying Whom" report, dollar volume of deals declined 85%, going from $17.2 billion in the first quarter of 2000 to $2.6 billion in the first quarter of 2001.
Whitestone said the number of transactions also declined, but not nearly as significantly, from 148 deals in 2000 first quarter to 128 this year, or 13.5% (the Time Warner/AOL deal was excluded). The number of investments in companies also declined, going from 64 deals totaling $1.5 billion in first quarter 2000 to 52 deals totaling $774 million in 2001.
Whitestone said the Trade Magazine category was one of the strongest sectors, showing deals valued at $153 million compared to $47 million last year, an increase of 226%. The number of deals increased from 12 last year to 19 this year. The Training category also had a strong performance, with dollar volume nearly doubling from $186 million in 2000 to $357 million this year. The number of deals declined slightly from 25 to 23.
This article is reprinted with permission from The Business Publisher. Copyright April 16, 2001.
