8:30 a.m. Pacific standard time

Market trends: 2015 Outlook IPO and M&A

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Session recap

M&A is back — optimism abounds in transactions

The room was buzzing with optimism in the energetic “Market trends: 2015 Outlook IPO and M&A” panel. A packed house of entrepreneurs attended the session, with an additional 2,100 people watching remotely via webcast.

Session host Mark Jeffries opened the panel by declaring that “US exchanges are currently poised to break 300 IPOs — and that was a record last seen in 2000.”

quot;It’s been an amazing year for IPOs, and we think it’s going to continue,” added David Ethridge of the NYSE. He noted that the US is the IPO destination of choice for global companies because “it’s the deepest market you can find — we’ve got the most comparable companies and an amazing group of investors that know how to pay for growth.”

M&A has seen a record-breaking activity as well, according to Jeffrey Liu, EY Global Technology Leader, Transaction Advisory Services.

"It’s fair to say that M&A is back,” Liu said, adding that 80% of multinational executives anticipate some form of M&A in the next 12 months. “Given the cycle time of how quickly value can be created or destroyed in industries these days, there’s almost a strategic imperative [to consider M&A].”

Panelists were just as confident when it came to discussing 2015. Liu predicted a 20%–30% increase in M&A deal volumes next year, and Brian Reilly of Barclays cautioned that the Federal Reserve is expected to raise interest rates in mid-2015, which will cause some volatility in the market may slow IPO growth.

quot;Volatility is not the friend of IPOs,” Reilly warned. “It’s been why [the IPO market has] been so strong over the past few years, because the market has been calm.”

Moderator
Mark Jeffries speaks at EY Strategic Growth Forum

Mark Jeffries
Author, Communication Consultant

 

 

Speakers

David Ethridge speaks at EY Strategic Growth Forum

David Ethridge
Head of Capital Markets
NYSE

 

 

Jason Giordano speaks at EY Strategic Growth Forum

Jason Giordano
Managing Director
Blackstone

 

Jeff Liu speaks at EY Strategic Growth Forum

Jeffrey Liu
Principal, Ernst & Young LLP
EY Global Technology Leader, Transaction Advisory Services

 

Brian Reilly speaks at EY Strategic Growth Forum

Brian Reilly
Managing Director - Global Head of Equity Capital Markets
Barclays