Here is an excerpt:
Deal value and count volumes were a restatement of the second half of 2020 as dealmakers continue to push past last year’s coronavirus-induced hesitancy and M&A demand forges ahead.
Year-over-year, deal value tied to Texas-based companies and private equity jumped by 205% in the first quarter, though the deal count dropped by 27 to 291, according to Mergermarket data provided exclusively to The Texas Lawbook.
Brandon McCoy, a partner in Haynes and Boone’s mergers and acquisitions practice group in Dallas, pointed to the additional uncertainty around the election that kept some deal flow pent up into Q4 2020 and causing it to trickle into Q1 2021.
“You had a tick-up in deals in the fourth quarter, but all of those deals didn’t get done in the fourth quarter. A lot of the volume in Q1 was from some of those deals that couldn’t happen in the fourth quarter for a variety of reasons,” said McCoy. “On the deal value side, it was more likely that the larger, more complex deals were the ones that weren’t able to make it across the finish line.”
It should be noted that, of the 291 deals reported to Mergermarket, values were not disclosed for 175. Year-over-year, there were 13 more billion-dollar or higher deals reported. The majority of the deal values reported for Q1 2021 were between $101 million and $250 million (31) or between $251 million and $500 million (21).
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