Globally, M&A activity is on the rise. However, the growth rates differ. The amount of activity is also influenced by the industry and geographical region.
Some sectors are seeing a boom in M&A, including the fields of energy, technology and healthcare. Other industries, like financial services and education have seen a more modest increase.
Many companies are seeking profitable growth and business transformation with strategic acquisitions. In particular they are targeting businesses in the service sector that provide digital solutions for customer engagement and business operations and companies who can https://vdr-tips.blog/data-rooms-for-startups-the-essential-tool-for-navigating-investors-and-manda-deals/ assist them in complying with environmental regulations or decrease emissions. They might also be interested in acquiring manufacturing assets, such as those used to make EV batteries.
Global M&A activity slowed down in the first half 2024 but could pick back up as financial sponsors use their capital, and activist investors continue insisting on a change in corporate behavior. The Americas continued to be the top M&A market, followed by Asia and Europe. In terms of deal prices the first nine months of 2024 saw more deals of $10 billion or more than any previous year.
The rapid pace of technological development continues to drive M&A, as businesses acquire new technologies that enhance their products or allow them to enter new markets. M&A in the manufacturing industry is increasing as companies invest in AI and machine learning robotics, predictive robots, as well as smart factories to increase productivity and efficiency. Logistics companies have also been influenced by the growth of e-commerce to build or acquire distribution networks. Certain companies join forces to expand or consolidate their product lines. Some combine to make savings or R&D synergies.