Good morning. M&A made a comeback this year, but growth is lagging in the middle market.PwC’s U.S. Deals 2026 Outlook, released this morning, credits the AI boom and a revitalized private equity (PE) activity for the market achieving 10,333 deals worth $1.6 trillion through Nov. 30, 2025. Total deal value rose about 45% from last year and was the second-highest ever recorded, even amid major shifts in economic policy, such as tariffs.Courtesy of PwCBig bets on AI helped drive activity among tech companies—e ...

Core Viewpoint - The U.S. health insurance industry, particularly Health Maintenance Organizations (HMOs), is leveraging strategic mergers and acquisitions along with technological innovations to enhance market presence and competitiveness despite rising medical costs and regulatory pressures [1][3]. Industry Overview - The HMO industry includes entities that provide basic and supplemental health services, assuming risks and assigning premiums to health insurance policies [4]. - Services are typically offered through a network of approved care providers, with exceptions for emergencies [5]. Current Trends - Rising medical expenses are driven by deferred care, chronic disease management, and increasing costs of specialty drugs, leading to higher healthcare utilization and insurance claims [6][7]. - Demographic trends, such as an aging population and increased chronic illnesses, are intensifying long-term cost pressures, straining the Health Benefit Ratio and compressing profit margins [7]. - Regulatory challenges are significant, with proposals potentially reducing federal Medicaid funding and altering Medicare Advantage payment rates, creating uncertainty for health insurers [8][9]. - The ongoing shortage of healthcare professionals, particularly nurses, is impacting hospital operations and the quality of care provided by HMOs [11][12]. Strategic Focus - HMOs are increasingly engaging in mergers and acquisitions to enhance capabilities and market reach, supported by favorable interest rates from the Federal Reserve [13][14]. - The anticipated Medicare Advantage rate increases in 2026 may provide some margin support for insurers [10]. Industry Performance - The Zacks Medical-HMO industry has underperformed, declining 25.8% over the past year compared to the S&P 500's growth of 2.4% [18]. - The industry is currently trading at a forward 12-month price-to-earnings (P/E) ratio of 16.04X, lower than the S&P 500's 23.35X and the sector's 20.92X [19]. Company Highlights - **UnitedHealth Group**: Driven by strong performances in its UnitedHealthcare and Optum segments, with a consensus estimate for 2025 earnings at $16.29 per share, indicating an 11.9% revenue growth [21][22]. - **Humana**: Steady growth supported by rising premiums and an expanding membership base, with a 2025 earnings estimate of $17.08 per share, reflecting a 5.4% increase from 2024 [23][24]. - **Centene**: Revenue growth fueled by its Medicare and Medicaid businesses, with a 2025 earnings estimate of $2.00 per share, indicating an 18.5% growth from 2024 [25][26].

Dealmakers are heading into the final weeks of 2025 on a $100 billion cliffhanger.Paramount Skydance Corp.’s hostile bid to snatch Warner Bros. Discovery Inc. from under the nose of Netflix Inc. encapsulates the themes that have shaped a banner year for mergers and acquisitions: renewed desire for transformative tie-ups, massive checks from Wall Street, the flow of Middle East money and US President Donald Trump’s role as both disruptor and dealmaker.Global transaction values have risen around 40% to about ...

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Summary of WSP Global's M&A Announcement Company and Industry - **Company**: WSP Global (OTCPK:WSPO.F) - **Industry**: Power and Energy Sector, Engineering and Design Services Core Points and Arguments - **Acquisition Announcement**: WSP Global has reached an agreement to acquire TRC, expected to close in Q1 2026, alongside a concurrent equity offering [1][20] - **Strategic Importance**: The acquisition is part of WSP's 2025-2027 Global Strategic Action Plan, aimed at solidifying its leadership in the U.S. power and energy market and becoming the largest and most diversified engineering and design firm in the U.S. [4][20] - **Historical Performance**: WSP has achieved a total revenue growth CAGR of approximately 13% over the last 10 years, with a 19% increase in 2025, demonstrating strong organic growth and profitability [5][6] - **M&A Strategy**: WSP has deployed over $5 billion in acquisitions from 2022 to 2024, with the TRC acquisition representing a significant commitment in 2025 [6][17] - **TRC's Market Position**: TRC is recognized for its technical excellence in the U.S. power and energy sector, with approximately 8,000 professionals and a strong client base built on long-term relationships [9][10] - **Growth Metrics**: TRC has delivered a 10-year revenue CAGR of 10% and a 4-year CAGR of 12% in the power and energy segment, indicating robust organic growth [11] Additional Important Content - **Financial Aspects of the Acquisition**: The acquisition is based on a cash offer of $3.3 billion, representing approximately 14.5 times TRC's estimated EBITDA for 2026. It is expected to be immediately accretive to WSP's adjusted net earnings per share [18][19] - **Synergies and Growth Potential**: WSP anticipates cost synergies exceeding 3% of net revenues within 24 months post-acquisition, with potential for high single-digit accretion to adjusted net earnings per share [18][19] - **Broader Capabilities**: The acquisition will enhance WSP's capabilities in water, infrastructure, and environmental services, positioning the company to capture a significant share of the $27 billion environmental consulting market in the U.S. [14][15] - **Workforce Expansion**: Post-acquisition, WSP's power and energy workforce will total approximately 12,000 professionals, with combined net revenues of $2.5 billion from the U.S. power and energy sector [13] - **Market Leadership**: The transaction is expected to reinforce WSP's leadership in the power and energy sector, with a significant portion of net revenues coming from this area, reflecting a strong growth trajectory [17][21] This summary encapsulates the key points from WSP Global's M&A announcement regarding the acquisition of TRC, highlighting the strategic rationale, financial implications, and expected market impact.

In 2025 eight states introduced bills that would require big firms to notify their attorneys-general before a merge. They will no doubt lobby hard against any reform https://t.co/X4Hjsmdc59 ...

Key Takeaways Goldman reported $3.37B in M&A advisory fees in the first nine months of 2025, reflecting higher deal volumes.GS equity and debt underwriting fees rose 7% and 11% in YTD 2025, adding support to overall IB revenue growth.GS management expects improved financing conditions to accelerate delayed M&A and capital-raisingThe Goldman Sachs Group’s (GS) chief financial officer, Denis Coleman, affirmed its strong confidence in global mergers and acquisitions (M&A) at the firm’s 2025 Global Conference h ...

“These equity returns are really coming out of AI, and AI spend is not sustainable,” said Charlie Dupree, global chair of investment banking at JPMorgan. “If that pulls back, then you are going to see a broader market that isn’t really advancing.”Top executives at Goldman Sachs, JPMorgan Chase & Co. and Morgan Stanley have all flagged the risk of a correction in the months ahead, in part tied to concerns about an overheated artificial intelligence ecosystem, where huge amounts of investment have juiced tech ...

Core Viewpoint - A consortium led by BW Energy and Maurel & Prom is acquiring a 20% non-operated stake in Block 14 and a 10% stake in Block 14K offshore Angola from Azule Energy, marking a strategic entry into the Angolan market for BW Energy [1][5]. Group 1: Acquisition Details - The acquisition grants BW Energy a 10% interest in Block 14 and a 5% interest in Block 14K, aligning with its long-term regional plans [1]. - The total payment for the acquisition is set at $97.5 million, with an initial deposit of $6 million and the remainder due at closing, expected by mid-2026 [3]. - Additional contingent payments of up to $57.5 million may be required based on Brent crude prices and production milestones from 2026 to 2028 [4]. Group 2: Production and Reserves - The gross production from Blocks 14 and 14K is currently 40,000 barrels of oil per day (bopd), with BW Energy's net share estimated at 4,000 bopd [2]. - BW Energy's net share of producing reserves is estimated at 9.3 million barrels, with potential for increased recoverable quantities identified [2]. Group 3: Strategic Importance - The entry into Angola is a key step in BW Energy's West Africa growth strategy, providing diversification of its resource base and positioning for future development opportunities [5]. - Angola is characterized as a mature hydrocarbon basin with an active mergers and acquisitions market and strong political support for the energy sector [5]. - BW Energy aims to develop proven reserves and stranded assets by reusing existing energy infrastructure to unlock significant value over time [6].

For most of the past two decades, America’s bankers have been waiting for a merger-and-acquisition recovery in their own industry. They may be about to get their wish https://t.co/O00FyfzPirPhoto: Getty Images https://t.co/Q95wkXFhe1 ...