The human capital sector continues to perform strongly in terms of M&A deals activity with a further 13 deals completed in the second quarter of 2022. This is a 30 per cent increase on the number of deals completed in the sector in the second quarter of 2021 and equals deal activity in the first quarter of 2022.
For the year to date, there was a total of 26 deals in the first half of the year, which is down by 11 per cent compared to the same period in 2021. However, the first quarter of 2021 was an exceptional period, driven by a rebound in deal activity post-Covid which led to a back log of deals.
Private Equity deals accounted for approximately 30 per cent of deals completed in the second quarter of 2022. This is down from 46 per cent in the first quarter of this year, but still demonstrates private equity’s continued interest in the sector, which is partly driven by the vast amount of uninvested private equity capital.
The below table details the transactions occurring within the UK human capital space in Q2 of 2022, with private equity deals shown in bold: