As organic growth becomes harder to achieve and multinational customers are seeking integrated cross-border FM services, FM service providers are re-directing their strategies towards emerging markets outlines a new report.
The Mergers Alliance, a group of corporate finance specialists who provide advice on International M&A (mergers and acquisitions) strategies has released its Global Facilities Management report for 2012 in which it observes that:
- Worldwide facilities management M&A deal volumes are 40% up on last year as service providers try to cash in on emerging markets;
- TFM (total FM) and in particular, the Global FM delivery models, where ‘western’ quality services are delivered in any country, are on the crest of the bundled service delivery wave thus promoting further acquisitions and enabling FM organisations to provide self-delivered, niche services;
- Technical services such as mechanical and electrical (M&E) organisations are a target acquisition
- Large listed FM service providers have performed well against global stock markets with the exception of those with high exposure to the construction markets
- Private equity investors continue to invest in the sector, attracted by ‘buy and build opportunities.
The Global Facilities Management M&A Report is available to download