Navigating the Mixed Mergers-and-Acquisitions Market: Potential Targets and Buyers to Watch

The mergers-and-acquisitions market has seen a mixed year so far, with overall volumes down but certain sectors experiencing high levels of activity. Despite high interest rates worldwide leading to a subdued M&A market, deal values have actually grown 5% in the first half of 2024, mainly due to megadeal activity in the technology and energy sectors.

In the oil-and-gas sector, acquisitions have been particularly notable. Diamondback Energy and Endeavor Energy Resources have agreed to merge, creating an oil-and-gas giant worth over $50 billion. Additionally, ConocoPhillips struck a deal to acquire Marathon Oil for $22.5 billion.

While some of the biggest deals have already taken place, smaller companies in various sectors could now be looking to either bulk up or become targets themselves. Retail has also become a hotbed of M&A activity, with Macy’s and Nordstrom both potentially facing buyouts.

In the cryptocurrency sector, market weakness has led to potential consolidation as Bitcoin miners look to acquire smaller companies that have become less profitable. Riot Platforms and Bitfarms are among the companies involved in potential M&A activity in this space.

Overall, the second half of the year could see continued activity in the M&A market, with various sectors and companies potentially becoming targets or buyers. It’s worth keeping an eye on developments in these areas as the year progresses.