Lawyer Monthly - March 2022

Signs of bullishness in the M&A sector early in the year continue to be supported by most market trends. A new report1 by EY has found that upwards of two thirds of UK CEOs plan to pursue mergers and acquisitions even on the heels of a rush of deal activity. While obstacles to these sentiments remain, with the same report suggesting widespread supply chain issues and disagreements with shareholders on ESG priorities, this is a good indicator of the continued strength of the M&A market both at home and abroad. However, even as we keep the above in mind, the uncertainty created by the Russian invasion of Ukraine means that these trends may well be subject to change.2 This is worth noting as we head into March, as the effects of ensuing sanctions and plummeting appetite for corporate expansion begin to show themselves. Meanwhile, further developments in the M&A space have continued unabated. Foremost among these is DuPont’s agreement to sell the majority of its mobility and materials business to industrial materials maker Celanese Corp. for $11 billion – a deal that has caught the attention of numerous private equity firms.3 Other stories of note include movement in the US media space as Standard General has agreed to take Tegna Inc private in for $5.4 billion in an all-cash deal and UK pharmaceutical company Boots’s looming deadline to secure a buyer in an acquisition that may be worth up to $10.7 billion. Finally, a report by The Motley Fool4 has thrown the IPO drop-off between 2021 and 2022 into stark relief. Due to volatility in public markets, IPOs managed to raise only $6.9 billion in funds between January and March; an 83% decrease from the same period during 2021. While few stocks are coming public this year, however, there are still a handful of developing corners worth watching out for – such as VW’s continued negotiations with its top shareholder on a future Porsche listing.5 What’sHappening in theWorldof M&As and IPOs? 74 WWW.LAWYER-MONTHLY.COM MAR 2022 1 2 3 4 5

RkJQdWJsaXNoZXIy Mjk3Mzkz