Financial reporters and editors at The New York Times believe that the Warren Buffett takeover of H.J. Heinz Co. (NYSE: HNZ), as well as leverage buyout deals like the pending one for Dell Inc. (NASDAQ: DELL), are the start of a surge in mergers and acquisitions, which has not existed since before the economic disaster of 2008.
The mega-merger is back.
For the corporate takeover business, the last half-decade was a fallow period. Wall Street deal makers and chief executives, brought low by the global financial crisis, lacked the confidence to strike the audacious multibillion-dollar acquisitions that had defined previous market booms.
The trend could die as quickly as it restarted. A large correction in the stock market, slowing GDP numbers, new legislation that raises taxes or an end to the low interest rates that large companies have enjoyed could, together or individually, scare off private equity investors.
Essential Tips for Investing (Sponsored)
A financial advisor can help you understand the advantages and disadvantages of investment properties. Finding a qualified financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with up to three financial advisors who serve your area, and you can interview your advisor matches at no cost to decide which one is right for you. If you’re ready to find an advisor who can help you achieve your financial goals, get started now.
Investing in real estate can diversify your portfolio. But expanding your horizons may add additional costs. If you’re an investor looking to minimize expenses, consider checking out online brokerages. They often offer low investment fees, helping you maximize your profit.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.