Most major UK plcs expect increased M&A but ‘confidence gap’ exists between buyers and vendors

Over two thirds of FTSE 350 businesses expect an increase in UK M&A activity over the next six months, according to a new survey by PricewaterhouseCoopers, with a fifth predicting a major rise in their sector and just 10% foreseeing a decline in deals. Underlying the predicted increase in M&A is renewed corporate confidence, with 73% of respondents saying they would be confident to undertake a major acquisition in the next six months. More than half of the companies surveyed, however, would not be confident about making a major disposal, with over half citing concerns over valuation as the main reason.