RSM UK advised on more than 200 deals during 2022, the audit, tax and consulting firm has announced.
These had a combined value of £4.46 billion, which the company said made it “another standout year”.
RSM UK – a member firm of RSM International – is focused on the “middle market”, which is defined as companies generating revenues of between £10 million and £750 million.
It has nearly 4,900 partners and staff operating from 31 locations, including 52-54 Queens Road, Aberdeen.
Cash circulating in the market will drive a stronger level of M&A (mergers and acquisitions) activity.”
Kirsty Sandwell, partner and national head of consulting, RSM UK, said: ‘The outlook for 2022 started well.
“Low interest rates and high liquidity presented conditions for a buoyant market and a positive year ahead.
“But the advent of war in Europe, surging inflation, rising interest rates and impending recession combined to slow capital markets.
“Banks reduced leverage to manage exposure and acquirers became more selective.”
She added: “Today, the same fundamental challenges remain. And recession is under way, or imminent. All eyes are on Q4 as the point at which economic recovery kicks in.
“In the meantime, cash circulating in the market will drive a stronger level of M&A (mergers and acquisitions) activity.
“Indeed, the capital that institutional investors have committed to PE (private equity) funds that has not yet been deployed is close to an all-time high, at $1.24 trillion (just over £1 billion) globally, nearly a quarter of which sits in Europe.
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“The race to quality and safer havens will continue, as will downward pressure on tech stock valuations.
“Software, communications, financial services and tech-enabled businesses remain the most attractive propositions.”
Expert services such as data analytics, financial modelling and due diligence remain in high demand, and buyers will continue to “factor capacity issues into deal planning” in 2023, Ms Sandwell said.
New talent and promotions
As well as announcing its latest annual deals total, RSM UK said it invested in senior talent last year.
It highlighted the appointments of John Bryant as a corporate finance partner in its M&A division and Colin Ferguson as corporate finance director in its due diligence team.
Promotions included Sarah Barry, Nick Wyatt and Ed Pipe becoming partners last April. Mark Leyland, James Bull, Jacob Moore, Ben Ducker, James Atkinson and Helen Gibson all became directors in October.
The firm recently teamed up with data specialists Moody’s Analytics and The Harris Poll to launch the RSM UK Middle Market Business Index – said to be the first economic index to focus solely on middle market businesses in the UK.
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