US M&A Market Report September 2022
There were 447 deals completed in September of 2022. Deal count YoY continues its downward trend moving out of September. Capital invested dipped in September which can be attributed to creditors coming down on leverage in deals. Companies are still using M&A to try and maintain competitive advantages within their respective markets as industry trends transformed under Covid-19.
As Q3 came to an end and we move into Q4, deal counts have begun to slow down with the uncertainty in the current market. 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. Private Creditors are beginning to come down a turn or more on leverage, which will slow deal count down even more moving deeper into 2022.