11 September 2017
Our September M&A trends review reflects on some of the key themes of 2017 and sets out our expectations for the rest of the year:
- China outbound deals paused – As we predicted at the start of the year, the uncertainty around China's restrictions on capital outflows has led to a sharp decline in Chinese outbound activity. We are now seeing the pipeline strengthening, as clarity emerges over regulatory attitude, and we expect more China outbound activity in the final months of the year.
- Increased Antitrust deal scrutiny - Acquisitions of data-rich companies now raise full-blown competition issues, which makes multi-jurisdictional transactions far more likely to be scrutinised or challenged when there is a significant data element.
- Non-controlling stakes to secure strategic opportunities - Businesses are focusing on strategic opportunities, particularly around digital/innovation, through minority investments in innovative businesses. These strategic stakes are key to secure access to new technologies without over-burdening the balance sheet or creating a cluster risk.