'Change in sentiment' may lead to more business negotiations
UK businesses may be quick to act if they believe they are getting a good deal on an acquisition.
There may be a rise in the amount of business negotiations taking place in 2011 after one expert noted he had detected a change in sentiment about how companies view prospective merger and acquisition (M&A) deals.
Co-head of M&A for Emea at Bank of America Merrill Lynch Philip Noblet told Financial News that UK institutions are now quick on the uptake when they believe the price is right.
He noted they have also been careful not to ruin their chances of completing business negotiations when turning down bid offers.
"Investors want buyers to pay full price but they have become more open-minded and commercial in their responses to M&A proposals in the UK market," he explained to the news source.
Last week, PwS US reported that there had been a resurgence in M&A activity in the US over the past six months, partly thanks to improved conditions in the deals market and stronger corporate assets.