MARKET UPDATE

125 M&A transactions closed last month, 23.7% lower than the average monthly transaction count over the last ten years. As of July 31, M&A activity year-to-date is down 16.2% versus 2023. Cash on corporate balance sheets in North America increased to $8.1 trillion (USD). There was approximately $1.3 trillion (USD) of private equity dry powder, which represents approximately $2.6 trillion (USD) in latent acquisition capacity when debt funding is factored in. Global inflationary pressures and uncertainty continue to dampen investor sentiment and valuations.

Considering long-term private market M&A activity, our view is that we are currently experiencing mid-cycle conditions. The reported declines are driven primarily by peak M&A market conditions in 2023, rather than current market activity.

VALITAS INSIGHTS

How Do I Triple My Business Value? Valitas Capital Partners is focused on discovering and unleashing value for its clients. Click the link below to see Paris Aden's top-rated TEC Canada webinar on this topic.