Douglas McIntyre at 24/7 Wall Street sees some big changes in the M&A market, with Roche's acquisition of Genentech highlighting a whole new approach to big acquisitions. In the not-so-distant past, a buyout offered a big chance to drive bigger profits through deep cost cutting. But there can be a more positive approach, as with Roche's move to make itself a big player in the biotech industry.
With the market jumping up over the past week, there could be a whole new slate of deals coming as companies start to move fast while prices are still low.
"M&A may be coming back," writes McIntyre. "Not the kind of M&A that is about firing but the kind where the excuse for the buyout is more positive than layoffs. And, the impetus for the move up in M&A activity is probably that the stock market has been going higher recently."
- check out the report at Time