Missing EU already
The UK has traditionally been the biggest destination of M&A in Europe. Katharine Dennys looks at recent deal making between Britain and the other EU member states and asks what the future holds.
The UK’s decision to leave the EU cast a shadow of uncertainty over deal making from June last year through to the end of 2016. But since prime minister Theresa May stated her aim of a “clean Brexit”, and the UK’s removal from the single market, the outlook for 2017 appears a little clearer.
Of course, dealmakers are still concerned about whether the UK will maintain its status as a centre of European investment, with radical shifts in trading policy and regulation under way. Hesitancy about many transactions was clear throughout 2016. A lack of transparency about the future Brexit negotiations dampened dealmakers’ confidence.
Severin Brizay, head of EMEA M&A at UBS, agrees: “We have seen a sharp slowdown in deal volumes in the UK driven by market uncertainty due to the lack of visibility on how Brexit is going to play out.”
Find out more
Members of the Corporate Finance Faculty and Faculties Online
Full article only available to Corporate Finance Faculty members and subscribers to Faculties Online.
If you would like to read this article in full why not join the Corporate Finance Faculty and gain member access to all member only content.