This week, Managing Partner Richard Spector looks at news that the next few years are likely to give way to flurry of cross-border mergers and acquisitions (M&A) deals involving emerging technology companies.
The news, which follows the publication of new research featured in City AM on Monday, comes after industry experts predicted noted that 3,441 global tech deals were agreed last year with a combined value of approximately $325 billion (£235 billion).
This is down from 4,043 deals totalling $506 billion (£366 billion) recorded during the previous year – but experts anticipate that developments in artificial intelligence (AI) and blockchain technology will lead to a “flurry of deals” between now and 2020.
“Despite the slowdown in the second half of last year, the overall outlook in the foreseeable future is very positive as continued technological disruption forces established vendors and new market entrants to innovate and stay competitive via tech M&A,” one industry expert noted.
The comments come shortly after data revealed that the UK helped to drive a record six months of M&A activity in the tech and financial sectors, with £20.7 billion worth of deals agreed in the second half (H2) of 2017 alone.
Richard Spector said: “It’s fantastic to see that the UK is playing an increasingly prominent role in global M&A activity, particularly in game-changing industries such as the tech sector.
“Going forward, it looks like the tech sector is expected to enjoy bumper M&A activity for the foreseeable future.”
About Richard Spector: Managing Partner Richard specialises in property transactions and commercial litigation. Richard has acted in a number of high-profile cases and was heavily involved in the litigation that arose from the collapse of Lehman Brothers. Richard has been involved in a number of cross-border litigation cases and recently acted successfully for the Claimants in Harlequin Property (SVG) Ltd & Anr v Wilkins Kennedy, listed in the Lawyer’s top 20 cases of 2016.
Latest posts by Richard Spector (see all)
- Richard Spector: “MPs victim to ‘first-of-its-kind’ Companies House fraud” – March 26, 2018
- Richard Spector: “Record monthly surge in property prices this month” – March 20, 2018
- Richard Spector: “Tech sector to enjoy bumper M&A activity” – March 7, 2018