Many companies see M&A transactions as an important route to growth, regardless of the global slowdown in economic growth. High interest rates will continue to pressure deal-making until 2022. In fact, our most recent North American CFO Signals survey revealed that more than half of respondents anticipated that between one percent and 10 percent of their company’s growth this year to come from M&A transactions.
The recent stability of the rate of inflation and interest rates is a sign that the worst could be over. This, in conjunction with renewed optimism in the US economy and the easing of worries about a recession could hopefully spur more companies to pursue strategic deals this year.
We anticipate that the upcoming year will be an active one for M&A across a wide range of sectors. The industrial sector is expected remain a top priority, particularly for acquisitions that focus on cutting-edge technologies such as electric vehicles and cloud-based solutions. We also anticipate that the shift to energy will be accelerated and that companies in this sector may seek to acquire assets and capabilities that can assist them in achieving their http://thisdataroom.com/how-virtual-data-room-vdr-benefit-ma-deals goals.
After a severe downturn for the tech industry in 2022 we expect to see an upswing in 2024 since artificial intelligence (AI) and its related applications, like artificial intelligence that is generative, attract the attention of business owners, investors, and the public. In addition the healthcare sector is a constant subject of M&A as companies and investors are racing to bring niche medical technology assets to the market.
