SS&C Intralinks’ Predicts Moderate M&A Deal Flow Uplift in H2 2023
WINDSOR, CT, July 17, 2023 (PR NEWSWIRE) – SS&C Technologies Holdings, Inc. (Nasdaq: SSNC) today announced Q3 2023 global and regional predictions from the SS&C Intralinks Deal Flow Predictor, a quarterly publication of future mergers and acquisitions (M&A) announcements.
“While concerns around stress in the banking and real estate sectors persist, we are seeing signs of rising confidence in the markets,” said Ken Bisconti, co-head of SS&C Intralinks. “Deal flow is recovering after a tough start of the year, and some sectors, such as tech, present attractive opportunities. Overall, our view of H2 2023 volume remains cautiously optimistic, especially if the equity markets continue to rebound and inflationary pressures ease.”
Regional market forecasts for Q3 2023 M&A activity:
- Globally, M&A volumes are expected to see growth compared to Q3 2022, but momentum will be muted. We are forecasting Q3 2023 announced volume to be neutral against Q2 2023, while QoQY growth is expected to surpass 10%.
- Asia Pacific, saw largely negative deal flow through Q4 2022 and the first half of 2023. Most of the region will likely take several quarters to recover, though there are signs of a rebound in India, Australia and New Zealand.
- Europe, the Middle East and Africa saw volume stress at the end of 2022, followed by a sharp rebound in Q1 2023. U.K.’s numbers stood out, and we are forecasting the region’s volumes will outperform by more than 10% on QonQY basis across both M&A and restructuring.
- Latin America’s political and inflationary stressors have dampened volume growth. Mexico continues to be a steady bright spot in the region, with deal volume experiencing double-digit growth against Q2 2023 and Q3 2022.
- In North America, both Canada and the U.S. are seeing stronger volumes, with opportunities in the banking and energy sectors. Tightening lending conditions and defaults in the commercial real estate sectors are adding stress to acquisition financing, constraining deal flow.
The SS&C Intralinks Deal Flow Predictor forecasts the number of future M&A announcements by tracking early-stage M&A activity from the previous four quarters, defined as new sell-side M&A transactions that are in preparation or have begun their due diligence stage. On average, early-stage deals are six months away from public announcement.
SS&C Intralinks is a pioneer of the virtual data room, enabling and securing the flow of information by facilitating M&A, capital raising and investor reporting. SS&C Intralinks has executed USD 35 trillion worth of financial transactions on its platform.
About SS&C Technologies
SS&C is a global provider of services and software for the financial services and healthcare industries. Founded in 1986, SS&C is headquartered in Windsor, Connecticut, and has offices around the world. Some 18,000 financial services and healthcare organizations, from the world's largest companies to small and mid-market firms, rely on SS&C for expertise, scale and technology.