Takeover - there’s a small island going cheap.

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You might have heard about the steady stream of M&A transactions in the UK of late.

The likelihood of a no-deal Brexit and a flagging Sterling have been fueling a rash of foreign takeovers of UK companies between April and June this year, with £18.4 billion of transactions written, according to the Office of National Statistics.

The Office stated:

“The value of inward M&A (foreign companies abroad acquiring UK companies) was £18.4 billion in Quarter 2 2019, a sizeable increase of £10.8 billion on the £7.6 billion recorded in Quarter 1 2019.”

On top of all of this there is a massive mountain of foreign dry private equity powder waiting for an excuse to avalanche.

With a slowing China and pressure on the AUD (with a small reprieve last night following RBA’s ‘hold for the moment’), could certain exposed sectors on this larger island also start to look cheap?

Mike.


NextLevelCorporate is a leading strategic corporate advisory firm with a multi-decade track record which speaks for itself. We inject independent and conflict-free Senior Advisor experience and expertise directly into private and public M&A, debt and equity transactions/strategies.