The Australian M&A Pulse Check 2022

Australia’s M&A activity levels were high last year across the board and things haven’t slowed down in 2022. Ambitious growth targets and a lower cost of capital are keeping the graph pointing in a positive direction despite international market disruptions.

Stay up to date with the M&A market with our quick read Pulse Check and keep your CPD points law up to date with Legalwise Seminar’s diverse CPD On Demand options.

2022 Overview

The majority of industry leaders projected the Australian economy would grow in 2022, and nearly 100% projected their own companies would grow in 2022 as well. Such confidence levels would need M&A deals to realise this expectation.

So what is the M&A topography currently?

M&A Snapshot

The market has swells and waves of diverse activity on the go. There is capital on the table and lots of elbows are out. Many companies are reinventing or remodelling due to ongoing and different supply chain disruptions and increasing ESG pressure. Public market activity is robust and tech deals are top of the menu for private equity acquirers.

Following The Money

The opportunity-demand imbalance has driven up seller prices and exclusive deals are hot property as acquirers are keen to avoid time and money-wasting bidding wars.

Australia continues to attract attention as it is an appealing investment jurisdiction with affordable capital.

Supply Chain Disruptions 

Supply chain stresses, which started with the pandemic, are now superseded by the Ukrainian war and China shutting down. The delay, costs and loss of market share have ravaged profits. Businesses are actively assessing M&A vertical integration to circumvent this as well as exploring new markets.

Tech Deals

The demand for innovation continues to snowball as the decreased costs and the tomes of efficiency & strategic profits reported prove the value of tech. The diffuse demand for tech will assuredly require M&A deals for the bigger players which, in turn, will require a new business model.

Digital innovation is a hotly contested acquisition goal.

The Value Of ESG 

ESG performance has rewritten the evaluation formula for buyers forever. ESG performance is swaying M&A decisions across the board. Capital will be diverted to businesses with greener energy sources and bona fide social responsibility.


With Australia’s market awash with capital, M&A activity will remain buoyant for the remainder of the year. Proactive CEOs will remodel businesses for longer-term growth and greater profits in 2022. On the other hand, acquirers need to come to the table with substantial operational expertise and an authentic focus on ESG and post-M&A value creation.

Get to grips with the E in the ESG via CPD on-demand options. Download our Climate Change Series: The 2022 Roadmap – 13 CPD units in Substantive Law.