M&A in 2023: Dry Powder, Deal Volume, and a Down Market

M&A in 2023: Dry Powder, Deal Volume, and a Down Market

As we enter 2023, the M&A landscape is facing a number of challenges and uncertainties. One major factor is the large amount of dry powder, or unused funds, that many private equity and venture capital firms are currently holding. While this can provide flexibility and the ability to take advantage of opportunities as they arise, it can also create pressure to deploy the funds and may lead to overpaying for acquisitions.

In a down market, with lower valuations and potentially fewer quality targets available, the challenge of finding good investment opportunities is even greater. Thankfully, technology is transforming every stage of the M&A lifecycle, playing a significant role in the efficient evaluation of potential acquisition targets, the integration of acquired companies, the smooth transfer of data and knowledge, and the automation of certain processes.

• How are private investment firms leveraging their dry powder in the current M&A market, and what risks and opportunities do this present?
• In what ways is technology transforming the process of identifying and evaluating potential acquisition targets, and what impact is this having on deal volume?
• How is technology shaping the M&A landscape? What trends and tools should companies capitalise on today to ensure long-term success?