If 2005 was a blockbuster year for merger and acquisition deals, get ready for the sequel.
The global retail and apparel sectors had more than $200 billion in M&A deals last year, the bulk of them involving private equity money. And there’s just as much cash washing around in 2006 hedge funds, private equity firms and institutional investors as well as strategic players.
The problem for all of them is the dwindling number of suitable companies to buy. As a result, financial sources predict the M&A scene could turn even more aggressive this year and valuations could go even higher. What makes the current market so intriguing is that all the players are looking at everybody – whether a company is officially for sale or not.
For complete coverage, see Monday’s WWD.