It looks like the days for making deals are back.

Planned transactions in the merger and acquisition space rose 33 percent, from 18 to 24 deals, during the first two months of 2013, says research from William Blair [profile], according to P&I.

This figure would translate to an implied 36 transactions in the first quarter, which would top the 26 in the first quarter of 2012, according to Blair research report titled Investment Services Industry Insights.

P&I cites J.P. Young, a director with William Blair's investment banking arm and co-author of the report, expects activity to pick up for the rest of the year. Young told the publication that more than 100 transactions in a year is considered a good year and that 2013 is “tracking nicely in the number of completed transactions.”

“It's a function of improved confidence, improved lending opportunities and general improved performance,” Young told the publication during a telephone interview.

Young expects large firms and private equity companies to make the bulk of acquisitions, largely in middle- and small-market transactions. The report states further consolidation in the industry is likely as there is a set of potential acquirers that have strong balance sheets and are earning low returns on cash.

Read more in P&I. 

Edited by: Tommy Fernandez


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