Globally, M&A activity is on increasing. However, growth rates are uneven. It also varies based on industry and region.
Some sectors are seeing an explosion in M&A in particular, such as the fields of energy, technology and healthcare. Certain industries, like financial services and education have seen a slight increase.
Many companies are trying to achieve business transformation and profitable growth via strategic acquisitions. In particular they are targeting companies in the service industry that offer digital solutions to customer engagement and business operations as well as those which can assist them in complying with environmental regulations or decrease emissions. They might also be interested in acquiring manufacturing assets, such as the ones used to create EV batteries.
Global M&A activity slowed in first half of 2024, but it could increase as financial sponsors make use of capital and activist investors continue to push for change in corporate practices. The Americas remained the top M&A market, followed by Asia and Europe. In terms of the value of deals, 2024’s first nine months saw more deals valued at $10 billion or more than any year prior to the outbreak.
M&A is intensified due http://www.vdr-tips.blog/what-is-capital-raising/ to the rapid pace of technology changes, as companies acquire technologies which improve their products or allow them to enter new market. M&A in the manufacturing industry is growing as companies invest in AI and machine learning, predictive robots, and smart factories in order to increase efficiency and productivity. The growth of e-commerce has also led to M&A by logistics companies seeking to acquire or develop distribution networks. Certain companies join to consolidate or expand their product lines, while others combine for cost savings or R&D synergies.