In January, for the second month in a row, the Composite score on the Mid-Market M&A Conditions Index (MACI) indicated a contraction. December was the first time the Composite score moved into negative territory since Mergers & Acquisitions began our monthly surveys in the fall of 2013.
The component scores for Leads, Signed Letters and Availability of Financing were all at their lowest recorded levels in January, suggesting we will see a prolonged slowdown in the first half of 2016. Participants cited a wide range of concerns, including stock market volatility, declining energy prices, rising interest rates, the slowing of China’s economy and uncertainty in an election year. For more, see Mid-Market M&A Come to a Dead Stop, or is This a Momentary Pause.