What does Brexit mean for M&A activity?

The UK’s decision to leave the EU has led to many companies rethinking their mergers and acquisitions (M&A) strategy. Some of the questions that organisations may be considering, given the recent Brexit vote, include:

  • Does it make sense to use M&A as a means of securing an operational presence in the EU to preserve access to European markets and/or secure talent in the future?
  • Could M&A be used to accelerate access to markets outside the EU for companies looking to diversify their customer base?
  • Do recent currency movements make UK acquisitions more attractive to overseas parties? Or conversely, is divesting UK-based operations now a sensible strategy?
  • Do share price movements post-referendum present an opportunity to acquire a company whose share price has come under pressure? And should those companies be preparing to defend a bid?

We’re working with clients to help them through these challenges, by:

  • reviewing options on how to serve current and future customers around the globe, particularly within the EU, and advising on their M&A strategy;
  • identifying potential acquisition targets that would help meet their strategic needs;
  • evaluating those targets in terms of valuation (including the assessment of synergies) and due diligence;
  • advising on executing M&A transactions; and
  • assisting publicly listed companies to help them understand and communicate their value to the market.

Workforce considerations in deals

In a deal situation, how are businesses responding to employee-related challenges and opportunities resulting from the Brexit vote? Whatever turn the deal takes, the human aspect of transactions need to be assessed and acted upon to mitigate risks.

In this video, Sally Dixon, People in Deals Director, takes us through the impact of the vote to leave on human capital and explains why the 'wait and see' approach is just not an option if a deal decision is needed now.

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Contact us

Simon Hampton
Head of Real Estate Deals
Tel: +44 (0) 7990 506 355
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Damian Guly
UK Head of Transaction Services
Tel: +44 (0)20 7804 3494
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Christopher Temple
Deals Strategy Leader
Tel: +44 (0)20 7213 4601
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