Kevin Myson and Kimberley Grellinger speak with Law.Com about the latest Bennett Jones quarterly M&A update and the creativity they are seeing in Canadian deal making.
Q3 2024 is the first time that the aggregate value of deals has grown for two consecutive quarters—and the first time it exceeds $100 billion in one quarter—since Q4 2021.
Earlier in 2024, interest rates and inflation were still up, with oil markets also in flux, requiring parties to "get very creative to find a deal that worked for both sides," and made them exciting to work on, said Kevin.
"I find some very sophisticated deal makers, both on the commercial side and legal side, are finding ways to get transactions across the line," he said. "Instead of, 'well, I don't like that, and I'm going to look around,' it's like, 'I know your concern, and how can we find a solution?'"
Kimberley says, "This year has been a little bit more interesting because we've [been] delving deeper into finding these different arrangements or ways to bridge certain perspectives on whatever the relevant issue is."
Kevin also told Law.Com the use of representations and warranties insurance has been more pronounced in 2024. "It really is being used to bridge the gap and align parties on sharing transactional risk," he said. "We are seeing a lot of transactions that would otherwise have been maybe stumbling along, moving past that point, because each party can get comfortable."
Bennett Jones