Companies appear to be confident in acquisition and deal-making strategies in 2022 despite the ongoing pandemic and inflationary pressures says GlobalData. The leading data and analytics company found that mentions of Mergers and Acquisitions (M&A) in earnings call transcripts rose by 8% in January 2022 compared to the same month last year.

Rinaldo Pereira, Business Fundamentals Analyst at GlobalData, comments: “Sentiment around deal-making rose by nearly 5% in January 2022 over January 2021. Expanding portfolios, geographic expansion and M&A in key growth markets were some of the key discussions appearing in transcripts.”

An analysis of GlobalData’s Financial Deals database reveals that the number of announced M&A deals also rose by slightly over 2% year-on-year in January 2022. Deal activity was also a bright spot in 2021.

Aurojyoti Bose, Lead Analyst at GlobalData, comments: “Deal-making in 2021 has emerged victorious following the COVID-19-spurred downturn. The resurgence was seen across all regions, as well as most key markets and sectors.”

North America was a key region for deals in 2021. The region and the US in particular, continued to have the most mentions around deal-making in earnings call transcripts that were released in January 2022. Digitalization, Digital Media, and Ecommerce were just some of the technology themes discussed around M&A as companies look to improve customer experiences.

Pereira adds: “Amidst inflationary and cost pressures, companies seem bold and opportunistic in the current scenario. With the pandemic accelerating digitalization, it has never been more relevant for companies to look at offering top-notch digital solutions for customers which can be achieved with the right acquisitions.”