This report is part of the 2024 Stears Valuation Benchmarks, which analyses valuation multiples across the continent’s private capital markets. This edition focuses on sector-based valuation trends from 2020 to 2024, examining implied EV/EBITDA and EV/Revenue multiples across a curated set of disclosed transactions involving private African companies. For a detailed overview of data sources, inclusion criteria, and how valuation multiples were calculated, refer to our methodology note here.
Key Takeaways
- Valuations swung sharply from 2020 to 2024, underscoring timing risk: Median EBITDA multiples fluctuated sharply from 2020 to 2024, rising to 6.65x in 2023 before falling to 3.54x in 2024. These shifts reflect changing investor sentiment and risk appetite, making timing and relative value assessments critical in private transactions.
- Basic Materials' top valuation tables while Consumer and Agriculture's stay close: Basic materials (7.13x) recorded the highest sector median, driven by industrial consolidation and green transition investments. Consumer goods and services (6.13x)
