In an analysis featured in The American Lawyer, Luke Laumann, M&A partner at White & Case, explores the potential of "creative" dealmaking solutions to complement traditional deals and drive an increase in deal activity this year.
While M&A activity in 2023 lagged behind previous years, Laumann highlights that the gap was filled with various strategies. He notes, "people filled that hole…with a lot of add-ons." Public companies engaged in carve-outs, and there was a willingness among sellers. Additionally, some companies undertook liability management transactions in response to ongoing interest rate hikes throughout 2023.
Looking forward to 2024, Laumann anticipates the persistence of "creative" solutions, suggesting that these innovative approaches could synergize with more conventional deals, leading to a notable upswing in deal activity.
"I think everyone has been waiting for a recession that is a year away for about seven years now," remarks Laumann, highlighting the challenges investors face in gauging the deal market. He notes the expectation of a downturn in 2023, which did not materialize. With inflation decreasing, low unemployment, and indications of declining interest rates, there's a sense of a potential soft landing. This sentiment, Laumann emphasizes, goes beyond mere numbers and trends.
The analysis underscores the dynamic nature of the M&A landscape, where a blend of creative strategies and traditional approaches may shape the dealmaking landscape in 2024.
mutual funds examples
private equity companies
pension funds
quant finance
haseen dilruba
You have a way of making even the most complex subjects feel accessible and fascinating. Impressive!
ReplyDelete"A web delight, clicks sing."
ReplyDeleteFantastic use of typography
ReplyDeleteYou've made a difficult topic seem so simple. Impressive!
ReplyDelete