Hazlewoods accountants see an increase in M&A activity as confidence returns

Published: Tuesday 7 July 2015

Whilst nationally the number of business mergers and acquisitions may remain low, a more positive picture is emerging in Gloucestershire.

And post General Election, with recent political uncertainty swept away, that confidence is expected to continue to grow.

From January to March 2015 (quarter 1) there were 41 mergers and acquisitions made by UK companies of businesses located overseas – the highest figure since April to June 2012.

However, the number of acquisitions of UK companies by other UK companies stood at 28 in quarter 1 – the lowest number since the Office for National Statistics began publishing the figures at the start of 1969.

And the total number of inward “cross border” mergers and acquisitions in the UK by foreign companies fell slightly on the previous quarter to 21 – the lowest quarterly number since the start of 1988.

Paul Fussell, Partner, said that Hazlewoods Corporate Finance are experiencing an upturn in business activity.

“We are very busy at the moment. We are currently advising on a number of transactions, including a major wholesaler who is looking to acquire several businesses, and a number of IT companies who are looking to expand by way of acquisition. We also continue to focus on our core specialisms and are currently engaged on a number of deals in Healthcare and Vet sectors” he said.

“The activity that we have seen has been across various sectors, with the value of transactions ranging from less than £350,000 to many millions”.

“I think it is a sign that confidence in the economy is growing again, and with the General Election out of the way, it has had had a positive effect with a number of local business now looking to do something, either buying bolt on complementary businesses or considering a potential exit.”

The National Institute for Economic and Social Research has also struck a more positive note about the economy in its latest report.