The first half of 2015 has seen M&A activity
reach highs not seen since the financial crisis, but the
catalyst behind this market is a combination of unique
Mid-year statistics reveal that both deal volume
and value rose over the first six months of the year.
Activism began to drive purchases. Healthcare and
pharma became the industries to watch. And payment structures
using a mix of equity and cash emerged as a way to take
advantage of market benefits.
US companies’ large cash piles and the
improving S&P 500 had many speculating the M&A market would return a few years ago. But
buyers remained cautious and most investors preferred to see
excess cash used for dividend payments or share buybacks.
"Corporate America learned from 2007 that it needed to keep
cash on hand," said Gar Bason, partner at Davis Polk &
Wardwell. "A lot of...