This quarter's Retail and Restaurants Update summarizes recent transactions within this industry along with information on active buyers, current transaction valuation multiples and an overview of the public market's perception of the industry.

Highlights include:

Average sector announced transaction value for Q1 2013 was $195 million, a significant increase compared to the average Q1 values of $110 million and $62 million in 2012 and 2011, respectively. The larger average announced transaction value in Q1 2013 was driven in part by large acquisitions, including the acquisition of OfficeMax by Office Depot, Inc. for $1.7 billion and the acquisition of New Albertson's, Inc. by Albertson's, LLC for $3.3 billion.

Despite the average deal size increase, the industry experienced a decline in deal volumes this quarter. Overall, 173 deals were announced in Q1 2013, compared to 234 deals in Q4 2012 and 175 deals in Q1 2012. The lower deal volume in  Q1 2013 was partially due to fewer strategic acquisitions and increased deal volume in the prior quarter.

Although the Commerce Department reported a 0.5% decrease in retail sales in March 2013 relative to February, American consumers have continued to show resilience in the face of higher taxes and have contributed to economic growth in Q1 2013.

To read more, download the Retail and Restaurants Update.