Firmex Announces the Publication of Q4 2022 Deal Flow Bulletin
Despite headwinds, the majority of M&A advisors have positive sentiment on deal landscape for the first time in 12 months.
TORONTO, Ontario, Oct. 14, 2022 /PRNewswire-PRWeb/ -- Firmex®, one of the most widely used providers of virtual data rooms, announced the publication of the Firmex Deal Flow Bulletin™for Q4 2022. This report combines proprietary data on virtual data room activity with M&A advisor interviews to forecast deal activity for the fourth quarter. In addition, to deal flow, the bulletin also highlights M&A advisor sentiment on the deal landscape for Q4 and beyond, given the challenges in the current market.
"It's encouraging to see that advisors are optimistic, even as the market headwinds continue to impact dealmakers. Deals may be taking longer, but at the end of the day, they're getting done," said Mark Wright, Firmex's Chief Commercial Officer.
Highlights in the Q4 2022 Deal Flow Bulletin include:
- Despite market challenges, a majority (56%) of middle-market merger advisors said they are feeling positive about the M&A market, the first increase in optimism in a year. Only 14% had negative feelings.
- Forecasts for volume in the coming three months increased for the first time all year to 43%, with only 19% of advisors expecting deal flow to decline.
- Buyers and sellers continue to be very interested in pursuing middle-market M&A transactions, as measured by a rise in data room openings in Q3 of 2022.
- To bridge the price gap between buyers and sellers, four in ten advisors say that earnouts are becoming more common in deal agreements.
- More than half of advisors say company valuations are average, the first time in the two years of the survey that most advisors didn't call valuations high or very high.
- For the first time in two years, more than half of advisors said company valuations are average as opposed to high or very high.
- The pace of cross-border transactions is largely staying constant, although more than a third of advisors in Europe see an increase in foreign buyers doing deals in their country.
To read the Firmex Deal Flow Bulletin for Q4 2022, visit firmex.com.
About Firmex Firmex is a global provider of virtual data rooms and secure document-sharing solutions. As one of the world's most widely used virtual data rooms, Firmex supports complex processes for organizations of all sizes, including diligence, compliance, and litigation. Whenever professionals need to share sensitive documents beyond the firewall, Firmex is their trusted partner. A Firmex subscription provides simple, safe, and stress-free document sharing without hidden costs or complexity. Since 2006, Firmex has helped over 120,000 companies worldwide take control of their confidential documents. For more information, please visit http://www.firmex.com.
Media Contact
Edward Stephen, Firmex, 1 416-840-4241, [email protected]
SOURCE Firmex
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