The spike in the fourth quarter rate is higher than the multiples registered for any year since 2007, according to data from the Leveraged Commentary & Data division of S&P Capital IQ. The purchase price multiple for all of 2012 was 7.9x EBITDA for mid-market companies, which have less than $50 million of EBITDA. Equity contributions from sponsors for the latest year rose to about 41.15 percent of deal valuations from 40.73 percent a year earlier. The fourth quarter rate of 42.34 percent contributed to the increase, LCD reported. The final quarter of 2012 featured a credit market that remained strong along with a bull market that continued in equities. (Click on the link at right for a larger version of the image.)
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