Distressed M&A Opportunities

With a potential economic slowdown on the horizon, as well as broad structural changes in several industries, distressed M&A deals are expected to rise in 2020. Under higher pressure and an accelerated timeframe, how can dealmakers make the best out of a challenging situation?

After several buoyant years of growth, the global economy is slowing down, and with it comes the rising likelihood of distressed M&A transactions.

A recent survey of European dealmakers conducted by law firm CMS found that 95% of respondents expect distressed M&A to increase in the coming year. Why is this the case?

First, the growth is sluggish and demand is slowing. In tandem with this, geopolitical factors from US protectionism to Brexit continue to pile on the uncertainty.

Second, the way the world does business is changing. From digital disruption to decarbonisation, businesses are under pressure to be on the right side of global megatrends.

Where some see gloom, others see opportunity. To find out what the next 12 months might have in store, we brought together six experts from the fields of law, consultancy, and academia to share their insights into the drivers, opportunities, and pitfalls of distressed dealmaking.