Home | Growth | Confidence in global M&A activity remains high

Confidence in global M&A activity remains high

By
Font size: Decrease font Enlarge font

Ripest Sectors for Consolidation
For the first time in several years, North American advisors see healthcare (73%) as the busiest sector for consolidation, up from only 14% in last year's survey of North American advisors, followed by longtime staple technology & telecoms (70%) and energy (43%).  Advisors in Greater China also see technology & telecoms (67%) and healthcare (57%) as the two most popular sectors, while Europe-based respondents believe the technology & telecoms (60%) and financial services (40%) sectors are ripest for consolidation in 2014.   

Share this:

Domestic Deals to Drive U.S. Deal Flow
Nearly three-fourths (72%) of North American advisors expect domestic transactions among strategic buyers to make up the majority of the U.S. M&A market in 2014, similar to last year (71%).  In terms of inbound activity, 58% of North American advisors believe the most inbound deals will originate in Greater China and expect more European buyers to be active in 2014 (36%, up from 23% last year), while only 3% expect buyers to be from Latin America (down from 11% last year).  European advisors are anticipating an inflow of M&A investment from North America (72%, up from 61% last year), while Greater China advisors expect acquisitions by Chinese companies to be targeted toward Europe (46%) and Africa (27%).

Deal Interference from Shareholder Activists to Increase
The rise of shareholder activism is set to continue, with two-thirds of advisors or more expecting to see an increase in the level of deal interference by shareholder activists in 2014 (88% in Europe, 69% in North America and 64% in Greater China).  Advisors in North America (39%) and Europe (52%) predict the most recurring demand among shareholder activists this year will be for spinoffs, sales or divestitures.  Nine in ten (91%) of North American advisors believe companies will agree to put shareholder activists on their boards in order to avoid public fights.

« 1 2 3 »
Join PRESIDENT&CEO on LinkedIn

Subscribe to comments feed Comments (0 posted)

total: | displaying:

Post your comment

  • Bold
  • Italic
  • Underline
  • Quote

Please enter the code you see in the image:

Captcha