Laxman Pai, Opalesque Asia: Company filings hint that they are confident in acquisition and deal-making strategies in 2022 despite the ongoing pandemic and inflationary pressures, said a study.
The study by GlobalData found that mentions of Mergers and Acquisitions (M&A) in earnings call transcripts rose by 8% in January 2022 compared to the same month last year.
An analysis of GlobalData's Financial Deals database reveals that the number of announced M&A deals also rose by slightly over 2% year-on-year in January 2022. Deal activity was also a bright spot in 2021.
Sentiment around deal-making rose by nearly 5% in January 2022 over January 2021, said the study. Expanding portfolios, geographic expansion, and M&A in key growth markets were some of the key discussions appearing in transcripts.
Aurojyoti Bose, the Lead Analyst at GlobalData, said: "Deal-making in 2021 has emerged victorious following the COVID-19-spurred downturn. The resurgence was seen across all regions, as well as most key markets and sectors."
North America was a key region for deals in 2021. The region and the US, in particular, continued to have the most mentions around deal-making in earnings call transcripts that were released in January 2022. Digitalization, Digital Media, and E-commerce were just some of the technology themes discussed around M&A as companies look to improve customer experiences.
Rinaldo Pereira, Business Fundamentals Analyst at GlobalData said: "Amidst infl...................... To view our full article Click here
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