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One thing I've noticed is that M&A activity really picks up just before a downturn. It's just a gut feeling, I have no data to back it up.
by 1024core 4y ago
One thing I've noticed is that M&A activity really picks up just before a downturn.
It's just a gut feeling, I have no data to back it up.
- lostcolony 4y agoI mean...how do you define downturn? If you mean recession, as defined by two consecutive quarters of dropping GDP - if GDP drops, stock markets drop. Not sure the directionality there, but the two are usually part and parcel. If stock prices drop, it's a great time for acquisitions if you're sitting on cash. I suspect any time stock markets drop sufficiently, you'll see increased M&A activity, regardless of whether it is prolonged enough to count as a recession.