M&A insights for family offices

31 July 2025

The Australian mid-market continues to show strong momentum, with family business owners, private capital investors, and strategic buyers actively pursuing acquisitions and partnerships. Flexible structuring, succession opportunities and a wave of consolidation are supporting robust transaction activity, as sector specialisation and long-term alignment become central to how families and investors approach growth and transition.

Mid-sized transactions, ranging from AUD $20m to $400m, are being driven by a combination of founder transitions, platform consolidation and capital seeking resilient sectors. Strategic buyers are sharpening their focus on bolt-on opportunities, while private equity is advancing selective expansion plays. Offshore buyers remain active, drawn by sector opportunities and favourable exchange rates. International investors are pursuing Australian assets across infrastructure, healthcare, resources and consumer-linked verticals—often entering through minority positions or bolt-on strategies aligned with long-term regional growth plans.

What is emerging is a shift in how deals are constructed: a move away from purely financial metrics to more sophisticated structuring that balances risk, reward and alignment between parties.

Confidence is sector-led and strategy-driven

Strategic consolidation remains a key theme. Lifestyle and aged care continue to attract long-term capital as seen in GemLife’s ~$270m acquisition of eight Aliria projects, while gold sector mergers like Ramelius–Spartan reflect strong resource pricing and a willingness to aggregate smaller players.

Infrastructure is also seeing renewed energy at the mid-market level, with Cleanaway acquiring Citywide’s waste business for $110m and Macquarie paying $240m for Sydney data centre land—highlighting ongoing demand for long-duration, cash-generative assets.

Private capital groups and global investors are active across diverse sectors, deploying growth capital through minority investments and bolt-on acquisitions. Notable examples include Alceon’s $30m stake in ventilation firm TVH and Anacacia’s acquisition of dairy processor Procal—each reflecting focused investment theses in defensive, cash-generative businesses.

Structuring approaches reflect shifting priorities

Many of today’s transactions prioritise long-term alignment through creative structuring. Several transactions, including Procal, TVH, and 24-7 Healthcare, have incorporated earn-outs or deferred consideration. This reflects a shift toward performance-based value realisation, particularly where forecasts are ambitious or growth is still being proven.

Partial acquisitions, like TA Associates’ stake in Viridian or Alceon’s investment in TVH, allow strategic and financial investors to gain operational exposure while maintaining future optionality. We are also seeing more founder rollovers and management retention post-deal, supporting continuity and shared long-term value creation.

Succession is shaping the next chapter of mid-market activity

Succession planning continues to fuel M&A momentum. The sale of 24-7 Healthcare to IFM Investors, reportedly above $100m, typifies a clean founder exit into a larger platform. Similarly, Dental Boutique’s proposed sale reflects growing institutional interest in private, high-margin healthcare assets that offer scale and defensibility.

This succession trend is especially relevant to family-owned businesses and founder-led companies weighing up capital realisation against continued involvement. We’re seeing a preference for strategic matches over broad auction processes, particularly when value can be realised through shared values and post-deal growth.

Navigating complexity while staying aligned to purpose

While momentum across the mid-market remains strong, capital markets and sector-specific risks still demand thoughtful navigation. Buyers, investors and family business leaders are responding with agility, using flexible structuring and targeted investment strategies to overcome challenges and unlock value.

At Equion, we continue to work alongside the ecosystem partners of the Victor Smorgon Group, including Arrowpoint Capital and Lineage Group, to deliver tailored M&A strategies that align with the long-term objectives of family offices and business families.

Looking ahead, we believe the mid-market is entering a phase of structural maturity where transactions are not just about valuation, but about vision, alignment, and thoughtful execution.

A leading corporate advisory firm, Equion Capital provides a wide scope of advisory and transaction-related services across the full transaction spectrum.  Working with privately held or family-owned businesses to publicly listed corporations, Equion focuses on long term objectives whilst acting in the present, delivering commercial value and outstanding outcomes. To learn more, visit www.equion.com.au