German companies‘ interest in acquisitions at record high

In spite of ongoing uncertaincies in the economic outlook German companies are increasingly interested in acquisitions. 61% of German companies surveyed in the most recent Ernst&Young „Capital Confidence Barometer“ (Oct 2016) are intending to invest in acquisitions within the next 12 months – up from 50% six months ago. This marks the highest value since the start of the survey in 2010. For companies worldwide the number went up to 57% from 50% six months ago. German companies are mainly looking for acquisitions in Germany with France, Switzerland, the US and Italy also being considered attractive markets for investments. Digitalization of major industries is seen as one of the driving factors for increasing M&A activity with companies adjusting their portfolios to enable new business models.