Transportation Space Highlights Last Week’s M&A Activity
Data from Pitchbook shows that $15.2 billion of capital was invested across 29 M&A deals last week, $4.4 billion less capital on two more deals than the previous week. The largest two deals during the week were Stonepeak Infrastructure Partners’ $3.6 billion LBO of Oryx Midstream Partners and the $2.44 billion acquisition of AmeriGas Partners by UGI Utilities. AmeriGas is a publicly traded propane distributor, and Oryx is a natural gas collection group. The transportation space was an active sector, as A&S Kinard and Buckler Transport were acquired by Day & Ross Freight; TFI International acquired Nebraska-based Aulick Leasing and its manufacturing business, ShurAul; and Providence Equity Partners acquired transportation software provider GlobalTranz.
Last week, the Bureau of Labor Statistics reported the unemployment rate fell, hourly wages grew modestly, and the economy added fewer jobs than expected. Also last week, the Federal Open Market Committee decided to leave the federal funds rate unchanged and automakers announced U.S. sales fell in July.
Last Monday, the Institute for Supply Management released their monthly manufacturing report, showing strong gains, despite industry disruption. On Tuesday, U.S. automakers released their monthly auto sales reports, all showing gains from the year before. Finally, on Friday, the U.S. Department of Labor released the monthly jobs report, which beat analyst expectations on job growth, while unemployment rose slightly.