A leading bank has brought out a new, free tool for businesses considering merging, buying or selling.
The guide contains articles on growth, exit strategy, ownership, financial and legal aspects, and the management buyout process and a spokesperson for the bank’s Structured Finance division says that despite the tough economic climate, businesses that are opportunistic and adaptable are the ones it sees thriving despite the challenging economic conditions.
The spokesperson added that many companies continue to position themselves favourably against the competition by making acquisitions. Others pass their legacies on to their teams through management buyouts. Still more are taking advantage of low interest rates in order to refinance.
However, despite the upbeat start to the M&A year, with activity being at 70 per cent of the whole of the first quarter of last year by the end of February, the weekly pace of worldwide mergers and acquisitions fell to its lowest levels this year during week commencing 10 March 2013.
During that week there was just $7.8bn in announced M&A activity, compared to a weekly average of $37.2bn so far this year. While for the first time since the week of 30 September 2001, not a single M&A deal over $1 billion had been announced worldwide.
For year-to-date 2013, worldwide M&A activity reached $400.4bn, a 6 per cent increase compared to last year at this time. Real estate, financials, energy and power and consumer staples deal making accounts for 46 per cent of overall M&A activity this year.
Along with the guide produced by the bank, for those businesses who are considering either a merger or an acquisition, our financial advisors are able to offer expert, honest and tailored advice, to help the process run smoother.
As an accountant, Philippe Herszaft specialises in offering advice, support and guidance in regard to business acquisitions and mergers.