In recitals the most captivating performances are when two partners perform as one with their individual spins, turns, and twirls into a seamless whole. This is also true of companies that combine or acquire with an eye towards expansion beyond borders. This could come in the form of an increase in financial power due to an alliance or access to a new markets via a tiny Dutch acquisition. Global mergers and acquisitions when done properly, can transform businesses and lead to prosperity across the globe.
As the business landscape undergoes radical shifts, CEOs from different industries agree that organic growth alone is no longer enough. In an environment which the speed of change is increasing, M&A can be an effective way to scale quickly and expand your customer base.
The global M&A industry has hit a new low in 2023. However, it is predicted to rise in 2024. Interest rates are now higher than ever before, as global inflation remains high and central banks continue to tighten their borrowing policy. This can increase the cost of M&A transactions.
M&A deals are also frequently affected by regulatory hurdles which can add another layer of complexity and slow the process. M&A deals are also a collaborative and open process, requiring a lot of communication between teams. Making it to the mark can be time-consuming and complex, especially when dealing with cross-border issues.