TheGrill 2021: Kevin Mayer says the direct-to-consumer shift creates a need for scale that only can only be met via acquisition
The current M&A frenzy does not appear to be dying down anytime soon. In fact, those in the business of buying and merging companies (or underwriting those buying and merging), argue we’re closer to the first pitch than the bottom of the ninth.
“I think this is only the beginning,” Jeff Sagansky, partner at private equity firm Eagle Equity Partners, told TheWrap’s Sharon Waxman during a panel titled “Acquire or Die: Navigating the Era of Mega-Mergers & SPACS,” presented by Gerber Kawasaki. “You’ve got massive liquidity in the system, Feds still printing money every month. Corporate borrowing rates at an all-time low. Cash on the balance sheets at an all time high and you’ve got dry powder in these private equity firms on a worldwide basis.” Sagansky estimated the total amount of money to spend globally is somewhere in the neighborhood of $2.4 trillion.