January 09, 2020

Iberia: Poised for Further M&A Growth in 2020

By Suzy Bibko, EMEA Content Marketing Manager, Merrill Corporation

After months of stalemate and five elections, Spain finally has a government. The sigh of relief by the country was likely heard around the world, not only because this action was long overdue, but also because Pedro Sanchez was appointed president by just two votes in Congress.

What does this mean for the markets and more specifically the M&A sector in Spain and the Iberian region? Is it finally poised for growth after a year of uncertainty?

Bright Spots Ahead
According to figures from Mergermarket, 2019 was not a good year for Spain: the number of M&A deals decreased by 3% yoy and deal value fell by 60%.“Iberian M&A has suffered from the uncertainty, following a summer of political impasse in Spain, and the prospect of new elections…[with] a fall in both volume and value compared to recent activity,” says Mergermarket (EMEA Trend Summary Q1-Q3 2019).

Nevertheless, as mentioned in our earlier blog, all is not doom and gloom. TMT and industrials & chemicals appear to have real potential, and mid-market M&A remains healthy in the region.

"In just a short time, we’ve seen explosive growth in the region. Clients recognize that we have the best product out there for M&A, and that we continue to innovate and deliver the technology solutions that M&A professionals require."

Meeting the Demand
Merrill Corp has seen these bright spots first-hand. In the past three years (2017-2019), the number of M&A projects in Spain using DatasiteOne has seen a 115% increase. Moreover, more IBEX35 top deals are using DatasiteOne than before – with more choosing Merrill Corp, thanks to the new innovations and features added in the past years and the strong local presence in the market. 

“In just a short time, we’ve seen explosive growth in the region,” explains Alvaro Ortega, Head of Iberia at Merrill Corp. “The number of projects we are a part of has quadrupled and our market share has also sharply increased over the past three years. We’ve responded to the demand by increasing our presence five-fold. Clients recognize that we have the best product out there for M&A, that we continue to innovate and deliver the technology solutions that M&A professionals require, that we understand the market and we take time to build meaningful relationships with them. We’re poised for further growth and welcome it.” 

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