"Uncertainty over the global economic environment and volatile equity markets are still dominating the course of European affairs. Global M&A activity for the first half of 2012 stood at US$ 1,1 trillion, down 22% against the same period last year. Second quarter activity increased 18% against the first quarter of 2012. In EMEA activity picked up by 19.1% from the first quarter to the second. But private investment value rises again. The value of private equity and venture capital investment in Western Europe advanced for the second month in a row to EUR 7,676 million, and was more than double that recorded a year ago ( October 2012: EUR 6,507 million; November 2011: EUR 3,025 million ).
Companies spent a good time to recover since the financial crisis erupted, and are still very cautious towards risky investments. The top motivator for acquisitions in 2012 has been the desire for geographic expansion (29%), followed by entry into a new business line (18%) and expansion of the customer base (17%). [KPMG survey]. Buyers are requiring more thorough and professionally prepared information earlier in their review of the business opportunity. Companies that are better prepared prior to launching the sale process have been rewarded with higher valuations, smoother and less intrusive due diligence, and a quicker cycle to closing the transaction.
Companies remain using mergers and acquisitions to build market share, broaden product offerings, and enter new markets. If you know how to use it the right way M&As can lead your company to a successful growth strategy. Therefore many companies are looking for ways to improve their M&A skills- especially their ability to assess and integrate target companies successfully."