The Economy Resuscitates, Stocks Gain, Rates Rise, Inflation Grows — Heightened Volatility and Potential for Big Market Swings Likely
In 2017, there is cautious optimism for accelerating U.S. and global economic growth, improving corporate fundamentals, modest stock gains, and higher yields on expectations of fiscal stimulus and regulatory policy easing.
Full-on optimism is tempered by the rippling effects of rising inflation, a stronger dollar, weak credit markets, uncertain commodity pricing, and game-changing political events that raise the potential for big market swings.
Following a slow start at the beginning of 2016, the US M&A market demonstrated its resilience. Uncertainty around some high-profile broken deals, the UK’s Brexit vote, and the US Presidential election has washed out of the market and the outlook for 2017 is positive. These four broad factors are likely to set the tone for… Read more »
As consolidation in the collision repair industry continues unabated, consolidation in paint distribution has been accelerating as well. National distributors continue to acquire regional and local jobbers, prompting many jobbers to actively consider what this should signal to them. It’s more than just others selling that is now making a large number of owners look closely… Read more »
Based on an interview of George M. Shea, Partner and IT Team Leader, and Manan K. Shah, Managing Partner, FOCUS Investment Banking LLC You’ve scaled and done all the hard work. Should you prepare your startup for exit? How do you know if your business is ready for a sale or acquisition? As a CEO,… Read more »
FOCUS Investment Banking is part of M&A Worldwide (MAWW), an established international association of 37 M&A boutiques working together to facilitate cross-border activities such as mergers, acquisitions, corporate finance projects, and consulting. FOCUS has been a part of this network since 2005 and has completed 31 cross-border projects with its partners in this network.
One of the partners with which FOCUS has worked closely is Aeternus Corporate Finance. Headquartered right outside of Amsterdam in Venlo, the Netherlands, Aeternus is an independent investment bank, like FOCUS, that provides M&A and corporate finance advisory services to mid-sized companies in the Netherlands and throughout Europe.
Selling a business comes with a lot of uncertainties. While a would-be seller can’t always control which parties are interested in buying, the seller does control the way the business is managed and scaled leading up to the sale—and the way they use their leverage in negotiations. FOCUS Partners George Shea and Manan Shah discuss the current selling climate, typical exit process, and the importance of a strong management team.
Worldwide, the art of dealmaking is evolving. There are substantial modifications in the way deals are being done today. Every detail from due diligence and integration to strategic planning and channels of communication is being refined and improved.
Careful coordination is ever more critical. Risk management tools are being reshaped and perfected—plus, there’s a razor-sharp focus on ensuring the acquirer is achieving maximum value.
A variety of new research reports conclude the fundamentals for healthy dealmaking remain firmly in place, and most believe the worst of the year is over. In fact, it appears U.S. M&A is normalizing and positive results for Q4 may be expected.
Although the numbers for the first half of 2016 were the lowest since 2013, they actually are higher than any first half from 2008 through 2013. Why? Perhaps this is a signal the M&A boom of recent years remains alive and well, if a bit diminished.
For the balance of 2016, three broad factors are likely to influence M&A activity: politics (no surprise there), tech deal traffic (good news there), and the continued abundance of available capital (money on the table). A new study by the international law firm White & Case—Slow but Steady: US M&A H1 2016—concludes that despite a… Read more »
The current year is full of firsts. In addition to the rare strawberry moon marking 2016’s summer solstice, the “Brexit bounce” reverberating across U.S. markets, and unprecedented political uncertainty, an impressive number of authoritative sources envision a positive, active M&A market during the second half of the year. “M&A will continue to thrive, despite the… Read more »