June 28 - FT.com - The volume of merger and acquisition activity worldwide surged 50 per cent to reach $2,780bn (€2,067bn) during the first six months of the year, despite growing concerns among companies about a turn in the credit markets and fears that the cycle has reached its peak.
Since 2003, chief executives and private equity investors have been fuelling the M&A boom by taking advantage of cheap debt and strong cash flows to bid for companies with attractive valuations. However, in recent days, several companies have postponed or withdrawn planned offerings of shares, bonds and loans because of concerns over the US subprime market, raising fears that the cycle has reached its peak and activity will slow. Read More.
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