Dealmakers have adapted to pandemic conditions and closed borders. That became apparent in the fourth quarter of 2020, as domestic and cross-border Canadian M&A activity accelerated and average deal size more than doubled over the previous quarter. In this issue of Straight Talk, we delve into the M&A rebound, taking a hard look at the dynamics behind the data.
The quarter brought an increase in deal volume and value in most provinces across Canada, with sector activity up almost across the board. As a national business law firm, with 12 offices across the country, we observed that first-hand. In this issue, Miller Thomson Partners from our offices in Montreal, Toronto, Southwestern Ontario and Vancouver provide their insights, supplementing the data with first-hand experiences from their respective group's practice.
In addition to perspectives from our Partners, we spoke with Zach Waltz, Managing Director, and Mark Leeker, Senior Managing Director and Head of Acquisitions at Harbour Group, a US-based private operating company with an investment focus on the mid-market. Zach and Mark share a range of well-informed views, including how the US election result may impact deal activity through 2021, how they have adapted their deal processes to support Harbour Group's ongoing cross-border transactions, and which COVID-related deal process changes are likely to stick post-pandemic. Their interview is on pages 12-13, following our M&A review.
As we move towards warmer weather and a vaccine rollout that is becoming a reality, there is plenty of reason for optimism. Capital remains abundant, many businesses have proven to be COVID resilient, and government funding has served as a means of support for those industries that are struggling. Certainly on the M&A front, we anticipate an extremely active period of deal flow.
On a closing note, as always, please don't hesitate to reach out if you'd like to learn more about our advisory expertise in the Canadian mid-market, or to discuss this publication. We are always happy to have a conversation.
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