subscribe to our newsletter
KPMG issues M&A predictions

KPMG issues M&A predictions

Professional services giant KPMG has delivered its predictions and expectations for global M&A levels in 2016.

According to the KPMG International Global M&A Predictor, global appetite to do deals is predicted to rise by four per cent over the next 12 months, thanks largely to increased corporate confidence.

Capacity to fund M&A growth, meanwhile, is expected to rise by 13 per cent over the same period, as companies continue to pay down debt and bolster their cash reserves.

“We expect strong transactional activity in many western economies in 2016 with healthy balance sheets, profit levels and strong liquidity in the debt markets among the highlights,” Leif Zierz, KPMG’s international global head of deal advisory, said.

The firm noted that with the Chinese economy cooling down, the US starting to raise interest rates, and oil prices depressing the economies of oil exporting countries, uncertainty still remains.

“Increased sector convergence and ongoing digitisation make a compelling case for future strategic adjustments. However, emerging market economies are expected to remain challenging,” Mr Zierz said.

[Related: Conditions ripe for corporate takeovers]

KPMG issues M&A predictions
mortgagebusiness logo

Latest News

Philip Lowe, the governor of the Reserve Bank of Australia, has said that he is “incredibly disappointed” and “appalled” at the beha...

The major bank has appointed a new chief information officer to replace Dave Curren, whose retirement has also been announced. ...

Borrowers paying lenders mortgage insurance should be offered more choice and ASIC should intervene to safeguard their interests, according ...

FROM THE WEB

podcast

LATEST PODCAST: Cash rate to remain unchanged, corporate cops for the banks and a new type of credit card

Do you expect access to credit to get harder this year?