M&A outlook for 2021

Now that Brexit is “done”, there is likely to be more confidence in the UK investment market.

Alongside potential changes to CGT coming in, light at the end of the tunnel with Covid and the fact that there is a significant amount of cash/dry powder around in the UK mid-market, we are fully expecting that there will be a lot of M&A and investment activity in the first half of 2021. Despite the latest lockdown in the UK, we are already seeing the deals landscape remain “business as usual”, especially when compared to the last full national lockdown in March 2020, where all deals were pretty much put on hold or cancelled all together. We are expecting this level of activity to remain and even increase over the coming months with the increased market confidence.

However, we are still waiting for clarity on how cross border M&A (particularly with private equity investments across Europe) will be impacted and whether, although there will be more deals, there will also be more “red tape” because of Brexit.

Read more about what Brexit may mean for Deals in PitchBook’s update here.

If you are considering selling your business, buying a business, or raising funds for growth, contact Nick Wallis today.