Canada M&A Seen Picking Up After Hitting 9-Year Low In 2020

  • Canadian mergers and acquisitions (M&A) fell to a nine-year low in 2020 as the pandemic put brakes on companies' growth strategies, but bankers expect the pickup in deal-making in the fourth quarter to revive activity this year.
  • The arrival of multiple COVID-19 vaccines in 2021 is expected to improve public confidence in an economic recovery and revive deal-making, say bankers. Market stability and continued access to capital that led to a resurgence in transactions in the second half of the year is expected to continue.
  • Over $158.7 billion worth of M&A deals were announced in 2020, making it the slowest year since 2011, compared with $234 billion in the previous year, data from Refinitiv showed.

(Source: Reuters)