Size of financial advisory market worldwide 2011-2016
Why is M&A important?
Economies of scale is the idea that some industries are more efficient when firms are larger. Investment banks facilitate these M&A deals. This allows the firms involved to become more profitable, and the investment banks generate a large portion of their revenue from these activities.
M&A deals
The largest M&A deals can exceed 100 million U.S. dollars in value. Since some sectors are more suited for integration, the value of deals depends on the industry . The leading investment banks monitor these industries closely. Participating in these deals generates significant revenues for these banks, giving them incentive to find companies that are ready for the process.