In a dance performance, the most mesmerizing performances are those where two dancers work as one unit, their individual spinning and twirling into a seamless ensemble. This is the case of businesses that merge or acquire with a view towards expansion beyond borders. This could come in the form of an increase in financial power via an alliance or access to a brand new markets via a tiny Dutch acquisition. Global mergers and acquisitions when done correctly, can transform businesses and bring success around the world.
CEOs from all industries are of the opinion that organic growth is not enough. M&A is a great way to increase your reach quickly and connect with new customers in a world of ever-increasing change.
While the global M&A activity reached a record low in 2023. The industry is set to see a increase in 2024. With global inflation lingering at elevated levels and central banks maintaining stricter borrowing policies, interest rates are higher than they were https://vdr-tips.blog/what-is-capital-raising in recent the past, which could increase the cost of financing M&A transactions.
M&A transactions are frequently impacted by regulatory hurdles. These can add another layer of complexity to the process and make it more difficult to speed up. In addition, M&A is a very human affair that requires collaboration and communication between teams. The process of getting the deal through the final hurdle can be time-consuming and complicated, especially when dealing with issues that cross borders.