Increased regulation and financial market volatility are fuelling M&A disputes in an uncertain deal market, with dealmakers identifying the digital assets and services sector, and ESG factors as dispute hotspots, according to Berkeley Research Group’s Midyear M&A Disputes Report 2023.
Increased regulation and financial market volatility are fuelling M&A disputes in an uncertain deal market, with dealmakers identifying the digital assets and services sector, and ESG factors as dispute hotspots, according to Berkeley Research Group’s (BRG) Midyear M&A Disputes Report 2023.
Drawing on insights from leading M&A practitioners and BRG experts, the report examines how the M&A disputes landscape has evolved this year, and explores in depth the sectors and trends that emerged as priorities in last year’s report.
The latest survey extends BRG’s multiyear M&A research initiative into two critical areas – the digital assets and services sector, and ESG considerations.
The report reveals that deals in digital assets and services are ripe for disputes as market volatility and proposed regulations disrupt cryptocurrency activity. Artificial intelligence (AI) meanwhile, is also an area to watch as generative AI technologies come to market and regulators look to impose guardrails.
ESG commitments are also coming to the fore in disputes, driven by competing pressures from regulatory scrutiny and pushback against ESG-motivated decision-making. This has heightened the need for due diligence around ESG in M&A transactions.
The APAC region has emerged as a significant focus for M&A disputes this year, as deal volumes remain high and regulatory expectations around digital assets and ESG shift.
