Call it the age of the mega merger. Across industries, some of the biggest companies are joining hands and creating even bigger companies.
Kison Patel, the CEO of software company DealRoom, remembers working for a private equity firm trying to do a deal not long ago. His firm bombarded the target company with requests for information — including repetitive requests for the same information, often in Excel spreadsheets. Eventually, the seller got fed up and walked away.
Large corporations are under attack from every corner. A group of states are fighting the proposed acquisition of Sprint Corp. by T-Mobile US. The Department of Justice and the Federal Trade Commission are investigating tech giants including Facebook and Alphabet’s Google for antitrust violations. Democratic presidential candidate Elizabeth Warren is proposing breaking up the big tech companies.
December 11, 2019 M&A
Al Dominick speaks with Tom Michaud, President and CEO of Keefe, Bruyette & Woods, about emerging financial trends to get a fresh perspective on the state of banking in the United States.
JPMorgan & Chase CEO Jamie Dimon has called investors who use proxy advisors “lazy” for blindly following advice on matters like executive compensation or mergers. Now, he and other corporate executives may be getting some relief.
Companies are increasingly staying private for longer, raising ever larger amounts from private equity and venture capital. SoftBank Technology Corp.’s Vision Fund took the lead in an $8 billion backing of Uber in January 2018, a little more than a year before the company’s IPO, valuing the business at $48 billion.
The United States may no longer be the country for entrepreneurs to try out new technology and break things, says Ed Knight, executive vice president and global chief legal and policy officer at Nasdaq. He and Melissa Sawyer, partner at Sullivan & Cromwell, discuss some of the emerging issues in regulation and how regulators are changing their focus.
There were 1,900 deals in the space last year, according to Connecticut-based publisher Irving Levin Associates in its 2019 report “Seniors Housing & Health Care M&A in the 21st Century.” For buyers, the cool kids on the block were long-term care facilities and physician medical groups, which led the charge for deal-making and consolidation.
Private equity is on the prowl for good deals in the healthcare space right now. There’s a lot of competition and money searching for an investment opportunity. Sometimes, those opportunities involve public companies looking to go private.