“M&A is expected to rise in 2023, following a dry spell in the second half of 2022. For the first half of 2022, the M&A industry saw activity higher than the historical average. But according to the Wall Street Journal, corporations' attention shifted internally in the latter half of the year 'as companies faced a mix of financing challenges, including rising interest rates, a pullback in leveraged finance, bond-market jitters and the possibility of a recession.'
Though a slow rise is expected in the beginning of the year, om Miles and Brian Healy, Co-Heads of Americas M&A at Morgan Stanley anticipate an acceleration in deal-making for the second half of 2023. Bankers at Morgan Stanley break down the 4 following themes and how they expect them to shape the M&A market in 2023.”
- Well-capitalized companies making acquisitions in their core businesses
- Financial sponsors, which are holding record amounts of capital, deploying it in acquisitions
- Uneven performance among companies stoking shareholder activism
- Cross-border M&A making a comeback
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Articles Referenced:
2023 M&A Outlook: 4 Trends as Deals Pick Up | Morgan Stanley