Sure deals were down in Texas for the first quarter of 2019. It’s not your imagination. Apparently, they were pretty much down across the globe, according to the data provider Refinitiv. But remember, the first quarter of 2018 was a particularly good one, so comparisons are relative. Moreover, there are a couple of sectors worth watching as the year progresses. Claire Poole has the numbers, as well as this week’s CDT Roundup.
Law firms in Texas are engaged in a fierce battle to represent businesses, private equity funds and banks involved in mergers, acquisitions, divestitures and joint ventures – and an estimated $3 billion in legal fees are at stake.
Baker Botts called 2018 “the year of the special situation.” It was certainly that, with activists everywhere, especially in the O&G and the power and utilities markets. So what does that mean for 2019? More activist-incited M&A? Maybe. Claire Poole has the scoop along with her weekly Roundup of Texas deals.
M&A activity needs to pick up significantly, or Texas – and everywhere else – could be looking at a significant decline this year. The experts differ on the specific reasons, but their caution is unmistakable. Claire Poole has the details, as well as last week’s dealmaking by Texas lawyers.
Although the first half of 2018 saw a flurry of energy IPOs, the decrease in oil and gas prices created a difficult IPO environment for the remainder of the year, and no energy IPOs by Texas-headquartered companies were completed during that time. As it turned out, all 13 of the Texas IPOs registered during 2018 were emerging growth companies. But there were some high points and a few emerging trends, and E. Ramey Layne and his colleagues at V&E discuss them at length.
With major M&A activity reduced to a few blockbuster simplification transactions and IPOs all but dead, the consensus of those on the floor at CERAWeek is that management is leery of deals when major investors have no interest. “We’re going through a major period of adjustment,” says Credit Suisse banker Osmar Abib. The Lawbook’s Claire Poole reports.
Giant energy conference CERAWeek by IHS Markit is in full swing in Houston. About 5,000 are expected to attend. What there isn’t a lot of at the conference, however, is lawyers. Senior M&A writer Claire Poole is there and has the details.
The sale preempts Goodnight’s plans to go public, although Bloomberg reported in November that Tailwater was also looking at a possible sale of the company that would value it at $2 billion.
On the eve of SXSW, it seems like a good time to explore the venture capital business in Texas, especially since some major firms are using the festival’s venues in Austin to court some of the emerging VC stars. The Lawbook’s Claire Poole takes a look at some of the names to look for, along with her weekly chronicle of Texas-inflected transactions.
Year-to-date, there have been 136 deals valued at $42.58 billion – about the same number of transactions at this time last year but 46 percent less in terms of value ($78.8 billion). Capital markets activity continued to build this past week, with six transactions valued at $1.262 billion versus 14 M&A/private equity/venture capital deals worth $1.771 billion. Texas Lawbook Senior M&A Writer Claire Poole has the inside details.