When performing a dance recital, the most captivating performances are when two dancers work in a single dance, with their individual turns and twirls are woven into a seamless ensemble. This is also true for companies that merge and buy with the intention of expansion beyond boundaries. This could take the form of increasing the financial power of an alliance or access to new markets through a small Dutch company acquisition. Global mergers and acquisitions executed correctly, can transform businesses and bring global success.
With the business world experiencing granular permissions rapid changes, CEOs from all industries recognize that organic growth by itself is no longer sufficient. In a world where the speed of change is ever-increasing, M&A can be an efficient way to rapidly scale and gain new customers.
The global M&A industry has hit the lowest level in 2023. However it is expected to rebound in 2024. With global inflation hovering at elevated levels and central banks having stricter borrowing policies, interest rates are higher than they have been in years, which can 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 can slow it down. M&A deals are also a very collaborative and collaborative process that requires a lot of communication between teams. Dealing with cross-border issues can be a hassle and time-consuming.
