COVID-19 has certainly had a significant impact on the first half of 2020. Many processes were stalled and put on hold, while others were completely pulled. By June, we started to see some ‘grass shoots’ emerge with some transactions going ahead and others considering their options again.
For the second half of 2020, we predict a number of notable trends will continue:
Many of those who have been mulling over an exit have done their early prep work and are set to launch processes in the final quarter of 2020. We expect the second half of 2020 to kick off a number of new sales processes. For many companies who have showed resilience through COVID-19, it will be considered a good time to get deals done – for vendors, it is a chance to crystallise returns and for buyers to press ahead with strategic acquisitions to drive growth or put private equity money to work.
Of course, uncertainty remains in the background as we head towards the end of the year and Brexit deadlines. But there are encouraging signs that it will be more active than H1 2020.
Head of Corporate Finance, UK