Southeast M&A Market Report April 2022
Overview
April continued an upward tick in M&A activity in the Southeast. April tends to be a recovery month in terms of deal activity as many deals are pushed through before years end leaving January and February as fall-off months. Southeast M&A activity remained strong in April 2022 with 114 M&A transactions completed– the most in any month so far in 2022.
As we’ve moved into the first portion of Q2, some investors have viewed the market uncertainty to close deals a more reasonable valuations in comparison to 2021. High-growth stocks have tumbled under fear of higher interest rates leading to an increase in discount rates. This would in turn drag down valuations seen over the past year and further stifle M&A activity going forward. The Fed plans for five more interest rate hikes in 2022 in hopes to curve rampant inflation in the United States.
