The distressed M&A segment has registered a significant contraction over the last three years: in Europe, the number of transactions on distressed companies has halved. It is clear that this trend is related to the pandemic crisis, which caused structural changes in the whole economic and legislative system.
A more significant growth should be registered properly by distressed M&A transactions. The persisting geopolitical uncertainty, the progressive increase of interest rates and the suspension of protection measures occurred in 2022 are the main drivers that will lead industrial and financial players to consider more carefully investment opportunities aimed at reorganizing financially distressed companies.
By Sante Maiolica - Partner & Head of Advisory Grant Thornton FAS
The distressed M&A segment registered a significant contraction over the last three years: in Europe, the number of transactions on distressed companies halved from 268 deals in 2019 to only 121 in 2021. It is clear that this trend is related [...]
By Giovanni Marino - Associate Partner Grant Thornton FAS
In an M&A operation and, in particular, in case of economic distress of the target, the nature of the buyer, whether industrial or financial, implies a series of considerations, in particular regarding the corporate strategy envisaged for the company [...]
By Nicola Cimmino - Manager Grant Thornton FAS
Turnaround funds represent institutional private equity investors specialized in the acquisition of financially distressed companies, with the aim of implementing an operational restructuring plan to make them profitable again. [...]
