The future of M&A in New Zealand is bright according to BDO’s two newest Corporate Finance Partners. With an increasing amount of capital being directed towards New Zealand’s mid-market, and more and more technology being made available to help ensure you’re getting the best outcome on your merger or acquisition, there’s never been a better time to be acquiring businesses or accessing capital according to new BDO Partners Andrew Beagley and Daniel Martin.
Never a better time to raise capital for NZ’s mid-market
Andrew Beagley returns to BDO after a five-year stint at a boutique mid-market investment bank.
Andrew says it’s an exciting time for mid-market businesses at the moment: “More and more capital is being invested into the mid-market. We are seeing an increasing number of financial investors - private equity funds, family offices, business syndicates … all looking to invest into the sector. When you add in the public capital markets and the impact online investment platforms have had, there are a lot of options available for businesses – each has its own strengths and weaknesses so understanding each option and what best fits your business is hugely important.”
Andrew’s experience specialising in capital markets and M&A Advisory means he is well placed to help businesses make decisions around accessing capital, and looks forward to assisting clients at BDO – whether that’s acquiring, selling or listing their business.
“The increasing amount of capital combined with high valuations mean it’s a good time to be seeking capital. It’s essential businesses have an adviser who not only has relationships with the various investors, but has the experience to take them through the process, understand their options and how best to maximise value.”
Using technology and big data to get the best deal
Daniel Martin started at BDO Auckland in 2003, and has extensive experience of markets both at home and abroad.
With M&A activity in New Zealand only increasing, it’s a great time to take stock of the tools you can use to ensure you understand the business you are acquiring and are getting a good deal, says Daniel Martin.
“Embracing data and using data analytic tools to understand trends and business drivers can provide valuable insights to the acquirer throughout the deal process. With the rapid advancement in technology and online digitalisation, businesses are more plugged in and can generate larger volumes of online transaction data. When analysed correctly in an M&A context, this can provide valuable insights to potential acquirers.”
These insights can ultimately determine the investment decision and value the acquirer places on the business, according to Daniel. “Using technology and data correctly can offer a clearer understanding of the general risks and challenges the business may face across a variety of categories, from product decisions and customer concentration to gross margin pressure. All of this influences the drivers of profitability.”
“Throughout my career I’ve really seen the value of using big data and other technology to ensure we’re offering the best insights possible, and ultimately getting our clients the best deal – I’m really excited to expand this out to the market here in New Zealand.”
Andrew Beagley has over 15 years’ experience advising clients on M&A transactions, capital raising mandates and capital markets advisory, and is returning to BDO Auckland after a five-year stint at a boutique mid-market investment bank.
Daniel Martin started at BDO in 2003, staying in Auckland for two years before working in large financial markets in London and Hong Kong for both BDO and other firms. Daniel’s wide variety of experience and connections across the BDO network means he is well placed to analyse overseas trends and bring those insights into the New Zealand market.
Simon Peacocke, Head of Corporate Finance at BDO, is excited for the wealth of experience Daniel and Andrew will bring to the team. “The M&A market in New Zealand is really active, and we’re delighted to have two new Partners with a high degree of expertise and understanding of the market trends who can help our clients here on the ground get the best deal. It will really give our clients the edge as they grow and navigate what is a really exciting time for the NZ corporate finance market.”
Do you have questions about your upcoming acquisition? Want to learn more about capital raisings, direct listings or IPOs from a fast-growing team of Corporate Finance experts with leading experience in the local mid-market? Contact Andrew, Daniel or your local BDO office today.