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Q2 2024: M&A Activity Remains Steady Amid Economic Uncertainty  

The second quarter of 2024 saw steady mergers and acquisitions activity, with deal value totaling $552 billion, which was only a slight dip from the first quarter’s $555 billion, according to research by S&P Global. Transaction volume also remained stable, with 8,551 deals in Q2 –  just 0.1% fewer than in Q1. Notably, there was a significant uptick in transactions taking companies private, with $67 billion transacted across 32 deals — the highest level seen in two years.


After accumulating record-high levels of dry powder, investors began to deploy more capital, increasing private equity and venture capital deal value by 42.1% to $175.73 billion in Q2 from $123.65 billion for the same period in 2023, according to S&P Global Market Intelligence data. “In the first half of the year, deal value increased 24.1% year over year to $309.82 billion, while the number of transactions shrank to 6,066.”

The surge in capital deployment seems to be fueled by optimism around potential interest rate cuts, and inflationary pressures cooling. Technology, media, and telecom sectors continued to dominate the market, with 2,138 deals valued at $166 billion, according to a recent GlobalData report. In June alone, the global transaction value climbed 15.6% compared to the same period last year. North America remained the leader in M&A transactions, with 3,019 deals worth $257 billion.   

Overall, the current M&A landscape indicates a cautiously favorable outlook for the remainder of 2024. The steady flow of deal activity in the first half of the year, ample private equity dry powder, and potential rate cuts suggest a favorable environment for those considering an exit. While regulatory scrutiny may pose challenges for larger transactions, privately owned businesses in the lower middle market continue to attract strong interest and robust valuations. As the market stabilizes and capital becomes more accessible, now may be an opportune time for business owners to explore strategic sale options and capitalize on the current momentum.

About ACT Capital Advisors
ACT Capital Advisors is a premier mergers & acquisitions (M&A) firm representing companies in all industries across North America. ACT has a 40-year history of deal-making, closing 250+ transactions, and unlocking over $2.5 billion in wealth for its clients. To learn more, visit www.actcapitaladvisors.com.

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