Fenwick & West’s Post

The year 2023 witnessed the slowest pace of mergers and acquisitions in a decade, with deal volumes experiencing a 25% decline, according to Bloomberg data. Contributing factors included reluctance from buyout firms due to limited financing options and high seller expectations. Despite the sluggish market, stability prevails, maintaining a monthly deal volume of approximately $250 billion for the past 18 months. Read on for more on what's expected for 2024: https://lnkd.in/gxSXYmNn #innovation #finance #business #investing #markets #venturecapital #technology

The latest PitchBook Global M&A Report paints a sobering picture of the M&A landscape in 2023, with deal values plunging to nearly a decade low. However, this downturn in #valuations presents a unique opportunity for savvy investors and corporations alike. As companies grapple with adjusted valuations, the question is whether 2024 will usher in a resurgence of M&A activities fueled by these newly attractive investment prospects. Historically, periods of #market turbulence have often been followed by a surge in deal-making as companies seek to capitalize on undervalued #assets and consolidate their market positions. What is your M&A outlook for 2024? Will uncertainties dampen deals or spark consolidation? #webankdifferent #outlook #investemtns #mergers

Amidst the current M&A trend in the #wealthmanagement industry, at Halbert Hargrove, believe it’s crucial to prioritize a people-first approach and cultivate a strong company culture. Our CEO JC Abusaid wrote an op-ed on why #financialplanning firms should resist a merger or acquisition and instead pursue organic growth. To learn more, read his op-ed in WealthManagement.com here: https://lnkd.in/gxw4M9Dp

According to The Wall Street Journal, earnouts are on the rise in mergers and acquisitions as companies look to close the gap between what buyers want to pay for a deal and what sellers think they are worth. After a discouraging last year for corporate M&A and rising inflation rates, tensions were on the rise for companies that failed to meet in the middle. While buyers struggled with lower projected valuations, sellers had the upper hand to demand higher offers. Over roughly the past year, earnout provisions have increased in M&A transactions, citing a greater prevalence in deals they have worked on for clients, especially in transactions where the seller is privately held and in the private equity industry. The presence of mergers and acquisitions will surely bring new opportunities for rapid expansion, diversification, competitive edge, and lucrative deals. #PrivateEquity #M&A #WSJ

Reflecting on what mergers mean for us consumers, I found myself deep in thought after reading an eye-opening article. It's like peeling back the layers of a complex puzzle to see how these corporate marriages can impact our wallets and choices. It's intriguing, isn't it? Mergers have this power to shake up the market, either sending prices soaring or bringing them down, depending on how they're handled. It's like a delicate dance between profit and fairness. The stats in the article really hit home. Some mergers lead to sweet discounts for us, while others hit us with unexpected price hikes. It just goes to show how important it is to keep an eye on these deals and make sure they're not leaving us consumers out in the cold. But what really got me thinking is this idea of changing the rules. Lowering the bar for what's considered a problematic price change could help us dodge those shady mergers while giving the green light to the good ones. But it also means more work for the folks keeping an eye on things. So here's the big question: How do we find that sweet spot between encouraging healthy competition and stopping big companies from taking over? It's a puzzle we all need to solve together. Here's the link: https://lnkd.in/gyRPtK3H #DecisionMaking #ProfitableStrategies #ConsumerGoods

The momentum in deal making for mergers and initial public offerings (IPOs) has significantly strengthened compared to a year ago, according to insights shared by a prominent banker with MarketWatch. Private-equity firms and middle-market businesses are increasingly poised to engage in transactions, reflecting a growing confidence in the market. Read More Here: https://lnkd.in/epZnFiff MarketWatch Branded Hospitality Ventures #Business #AI #VentureCapital #PrivateEquity

Goldman Sachs clients have started to accelerate their plans for mergers and acquisitions to the first half of the year to avoid the US election in November, Bloomberg reported. “Many of our clients have tried to move their transactions into the first and second quarter, which is one of the reasons why I think we’ve had such a robust first quarter and I expect that to continue up until the summer. I think we are quite concerned about the fall,” Christina Minnis, Goldman Sachs Group head of global acquisition finance. #MergersAcquisitionsDivestitures #InvestmentBanking #Finance

“There is evidence that PE interest has waned and there is a reliance on strategics as acquirers in the Consumer sector.” – Market Eye, July 2024 Take a look at some of our Private Equity deal highlights from the first half of 2024, as well as market commentary from our M&A professionals across the globe – a huge thank you to our clients for entrusting us with their business objectives. Want to know more on the M&A market? Read our latest edition of Market Eye, where we examine a range individual sectors and offer insights into their performances and influencing factors: https://lnkd.in/dGbgQigY   #PrivateEquity #MergersAndAcquisitions

Morgan Stanley’s CEO Expects the IPO Market to ‘Work Its Way Back’   • Ted Pick, CEO of Morgan Stanley, said Wednesday that he expected to see more initial public offerings from big companies. • Pick’s comments came as his bank reported third-quarter investment banking revenues that rose more than 50% year-over-year. • The IPO market has been cool lately but Goldman Sachs CEO David Solomon said yesterday Goldman has lately seen “an acceleration of activity.”   https://lnkd.in/eAnrAAtM   At Edelman Legal Consulting PLLC, we provide outside General Counsel services to public companies, IPO prospects , SPAC clients and private company clients. #ipo #spac #legalservices #mergers #legalfees #securities 

Always great to join the Schwab Network on the floor of the NYSE to discuss the key themes for deal making during the first half of 2024, six months marked by double-digit percentage growth boosted by large-cap deals in Tech, Energy & Power and Financials and a resurgence of stock-related mergers. The focus on interest rates and market volatility during the latter half of the year, coupled with weakness in the middle-market and Asia Pacific, weighed on second quarter activity; and while an M&A recovery is in the works, every new cycle presents unique challenges. #DealTrends https://lnkd.in/ez4vc5jM