Goldman Sachs has seen a “superbloom” of corporate mergers and acquisitions (M&A) and separation activity as companies re-evaluate and reimagine their businesses in these uncertain times. In this session of The Daily Check-In, David Dubner, global head of M&A structuring in Goldman Sachs’ Investment Banking Division, discusses what’s driving this activity, and trends he sees.
- Larger organizations’ M&A and separation activity is particularly strong; those with many business segments are thinking about simplification.
- Tax-free spin-offs and spin-mergers may create a powerful opportunity to divest businesses.
- Firms are thinking about their need for scale on a multinational level.
- Private equity and SPACs are novel ways to divest.
- The macro environment is very conducive to M&A and corporate-separation activity, which Dubner anticipates should remain around current levels for “some time.”
