CMS warns to not be hasty to push through M&A deals amid Covid-19 crisis

Uncertain times caused by economic downturns or natural disasters often cause companies to go into financial turmoil, which presents a key opportunity for better-endowed firms to acquire other businesses at a lower cost than normal; however, this calls for greater scrutiny of the businesses’ viability, says law firm CMS RM Partners.

CMS RM Partners director and Africa mergers and acquisitions (M&A) head Deepa Vallabh says business transactions, overall, are down across the South African economy right now, but, she believes there will be an uptick in M&A deals in the medium to longer term.