The Romanian mergers & acquisition market remained relatively dull in the first quarter, evaluated at around €178 million, with few transactions completed, of which many have not been made public, said Cornelia Bumbacea, partner Ernst & Young Romania, at the M&A Outlook conference organized by Wall-Street in partnership with Enterprise Investors and Ernst&Young.
“If you’re asking me now, the Romanian M&A market doesn’t look so good. If you asked me a month ago, the market was showing signs of thawing. I don’t see necessarily a growing appetite for dealmaking, but resumptions of shelved talks that began in last fall instead. There are hopes, but the first 5-6 months have been pretty dull, as few were those projects that actually wrapped up and many of them haven’t been even made public”, said Cornelia Bumbacea (photo).

According to an Ernst & Young March survey of companies in 51 countries, operating in 40 industries, 61% of the respondents said they were optimistic about the emergence from the financial crisis in the following 12 months, while 69% said they were confident in the economic outlook of countries where they operate.

On the other hand, equity investment strategies are focused on deals able to deliver organic growth, acquisitions in sectors deemed relevant, namely research and development. In this conditions, 47% of the companies expect to close a deal in the following six months, versus 25% in 2009, the percentage following to increase to 67% over the next two years.

The biggest obstacles in the completion of a deal rest in the uncertainty of the valuation multiples (65%), investors’ prudence (60%) and the increase of risks incurred by a transaction (57%).

“Talks that began a year and a half ago do reach the written form phase, but the requirements are much too restrictive. Everybody looks at recession-proof sectors. The completion of a deal in Romania lasts at least six months since the start of negotiation talks. The market shows signals of thawing, but it will take a while before the pickup would reflect in the M&A activity, in particular due to the mismatch between buyers’ and sellers’ price expectations”, Bumbacea added.

Calculator Salariu: Află câți bani primești în mână în funcție de salariul brut »

Despre autor este un cotidian de business fondat în 2005, parte a grupului InternetCorp, unul dintre cei mai mari jucători din industria românească de publishing online. Pe parcursul celor peste 15 ani de prezență pe piața media, ne-am propus să fim o sursă de inspirație pentru mediul de business, dar și un canal de educație pentru pentru celelalte categorii de public interesate de zona economico-financiară. În plus, are o experiență de 10 ani în organizarea de evenimente B2B, timp în care a susținut peste 100 de conferințe pe domenii precum Ecommerce, banking, retail, pharma&sănătate sau imobiliare. Astfel, am reușit să avem o acoperire completă - online și offline - pentru tot ce înseamnă business-ul de calitate.

Te-ar putea interesa și:

Mai multe articole din secțiunea English »

Setari Cookie-uri