26% UK Entrepreneurs are Acquisitive
More than a quarter (26%) of Britain's privately held businesses
PHBs are expecting to make acquisitions in the coming three years,
according to Grant Thornton's International Business Report (IBR).
This represents a drop from the 39% and the 40% who said they
planned to grow through acquisitions in 2009 and 2008 reports
respectively.
The annual survey, which canvasses the views of decision makers
for around 500 PHBs in the UK alone, also found that a total of 12%
anticipated a change in ownership in their UK-based business. Of
these, 36% are expecting to be taken over by trade buyers, 27% by
their management team and 25% are expecting to be subject to a
buyout by financial investors.
"Britain's entrepreneurs are more hawkish on acquisitions than
the rest of the world, with 21% of UK PHBs saying they are focusing
on M&A in preparation for the recovery, well above the global
average of 14%," commented Geoff Davies, Head of Corporate Finance
at Grant Thornton (UK) LLP.
"Ironically, these acquisitive British firms are themselves
particularly attractive to foreign bidders because of the
prevailing weakness of sterling. Moreover, takeover capital for
quality businesses of all sizes has become more readily available
in Britain, as recently announced transactions have shown," said
Geoff Davies.
Of the 26% of British PHBs planning to grow via acquisitions,
87% said this would be through domestic acquisitions, while 29%
were planning to grow via acquisitions of foreign assets (including
some choosing both options).
Ends
For more information please contact:
Alex Wessendorff, Grant Thornton Press Office, T +44 (0)20 7728
2048, M +44 (0) 7792 924 229, E Alex.Wessendorff@gtuk.com