April 5, 2018
Though the first quarter of 2018 was sluggish for mergers and acquisitions among Canadian companies – activity was down 37% compared to a year ago – an uptick in deals is expected moving forward, driven by non-resource deals, a potential resolution to the North American Free Trade Agreement negotiations, and changes to the U.S. tax system, according to a recent article on the Thomson Reuters website. Journalist John Tilak reports that, according to bankers, real estate and industrials will take centre stage in M&A deal activity in 2018. Tilak looks to Jeremy Fraiberg, Osler partner and co-chair of the firm’s Mergers and Acquisitions Group for his take on the impact of the U.S. tax changes on M&A activity.
“The U.S. tax cut on a macro level has huge implications for Canadian M&A,” Jeremy says. “With the tax changes, U.S. companies are finding their coffers have more cash and could do more northbound deals as a result.”
Read John Tilak’s full article from April 5, 2018, “Canadian M&A deals seen rebounding after sluggish first quarter,” on the Thomson Reuters site.