M&A executives turned cautious in 2022, but as macroeconomic conditions improve, deal activity in the sector should pick up in H2’23
After a blockbuster 2021, deal activity in the TMT sector pulled back significantly last year. Deal volume fell 22 percent to 6,601 from 8,460, while deal value declined 26 percent to $698 billion from $937.9 billion.
Technology deals dropped 23.5 percent by volume and 28 percent by value, media deals declined 17.9 percent by volume and 10.6 percent by value, and telecom deals decreased 19.2 percent by volume and 63.3 percent by value.
The main M&A trends that defined the TMT sector in 2022 are:
As the new year begins amid recession fears, market volatility, and other uncertainties, we expect the slowdown in deal making to continue. But if macroeconomic conditions improve, activity should pick up. For high quality assets, we believe it can be a good time to explore M&A, especially with a dearth of quality assets coming to market.
Download our report for a comprehensive look at the TMT deal market in 2022 and KPMG deal professionals’ views on how 2023 may shape up.
In a sharp reversal - M&A trends in technology, media, and telecomDownload PDF