Dealmaking drought set to continue amid recession fears
- On June 30, 2022
- By GrowthInvest Marketing
A dealmaking drought is set to continue this year as firms batten down the hatches for a prolonged period of rampant inflation and stock market turbulence, analysts have warned.
The value of announced deals globally slumped nearly 25.5 per cent year-on-year to $1tn in the second quarter of 2022, according to data from Dealogic, as Russia’s invasion of Ukraine and fears of a looming recession gave dealmakers the jitters and sparked a major slowdown in transactions.
Analysts said dealmakers had shunned M&A so far this year as would continue to do so as they prepared for a looming recession.
“Companies are standing back from M&A in the short term as they are more focused on the impact of a recession on their business,” Alison Harding-Jones, Citigroup’s EMEA head of M&A, told Reuters.
“The timing for dealmaking will come but I don’t think it’s quite there yet.”
GET IN TOUCH!
CALL US020 7071 3945
FOLLOW US ON
Throughout our site you will find links to external websites. Although we make every effort to ensure these links are accurate, up to date and relevant, we cannot take responsibility for pages maintained by external providers.