In this edition of M&A Insights we share our deal-making predictions for the year ahead. Despite the uncertain geopolitical landscape, inflationary pressure and rising interest rates we are cautiously optimistic for the varied opportunities the next 12 months will bring.

Our trends to monitor include:

  • A strong year ahead for energy and infrastructure
  • Further efforts by private equity funds to create value through complexity
  • Hotspots of activity in the Middle East, Japan, Southeast Asia and the UK
  • Renewed interest in digital assets

We also take a deep dive into some key corporate data points to identify further areas to watch.

Energy and infrastructure M&A will remain strong

Despite a fall in deal-making in the second half of 2022, we expect activity to strengthen in the year to come.

Deal data for H2 shows energy and power as the biggest sector for M&A by value.

The international focus on sustainable, secure energy supplies points to continued investment in renewables, with infrastructure investors set to remain among the most active financial sponsors.

The U.S. Inflation Reduction Act will drive further secondary trades, while financing for energy and infrastructure acquisitions – which have longer hold periods than some other types of assets – is less exposed to current shocks such as the war in Ukraine.