A&O Shearman examines lateral thinking in fast-moving markets in the latest edition of M&A Insights

In a series of articles, partners from across the firm’s nearly 50 offices located in 28 countries analyze M&A activity in major markets and jurisdictions around the world to explain how current macroeconomic, regulatory and political factors are affecting transaction flow.

The report looks at the many ways that shifting trade policies are complicating deal execution, especially for large transactions, while offering practical guidance for buyers and sellers navigating an uncertain environment for mergers, acquisitions and other strategic alternatives.

The report explores:

• How preferred equity instruments are attracting significant interest from investors eager for new and creative ways to deploy capital. It takes a close look at private equity which remains active, particularly in mid-market take-privates and distressed acquisitions, while private credit steps in to support deal financings.
• The life sciences sector as companies and investors pursue innovative deal structures to address the rising cost and complexity of drug development. Similarly, it examines how industrial companies are responding to energy costs, tariffs, and antitrust policies.
• The U.S. program for outbound foreign investment which was implemented late in the Biden administration. Six months into the Trump administration, the report shares thoughts on how the Outbound Investment Security Program is affecting counterparties connected to “countries of concern” – currently China, Hong Kong and Macau.
• Defense M&A in Europe where deal activity is rising amid an increase in military investment and efforts to streamline regulatory frameworks. A&O Shearman’s partners examine a variety of investor strategies to address the distinct demands of this sector.
• Take-private activity is accelerating across Southeast Asia as rising de-listings in Singapore and Hong Kong - driven by low liquidity, regulatory challenges and ongoing consolidation among Singapore real estate investment trusts - prompt dealmakers to assess ownership thresholds, governance rights, and compliance with new international standards.
• European merger enforcement in the context of challenges faced by chemical, steel and other basic industries due to high energy costs, renewed tariff barriers, and ongoing social and environmental obligations. The report examines merger control factors to evaluate the feasibility of such transactions.

M&A Insights delivers concise, attorney-driven analysis of global dealmaking making it an invaluable resource to better understand and capitalize on developments across markets, sectors and businesses.