March yielded only 88 completed deals, significantly lower than the same month the previous year (147) and lower than the previous month (107), according to data from Thomson Reuters. The results from Mergers & Acquisitions’ Mid-Market M&A Conditions Index (MACI) delivered more bad news but also some potential bright spots. (See related chart.)
After a brief rise in early-stage activities in February, leads for new deals flattened, and signed letters of intent dropped in March, according to the MACI. But availability of financing picked up in March (to 43.0, from an historic low of 35.7 in February). And divestitures absolutely soared (to 88.3, up from 51.9). Thanks to these two components (not shown on the chart), the March composite score rose to 54.6, up from the February score of 51.5.