CEOs still chasing deals
Article Date: Jan 20 2009Despite the sharp fall in global business confidence, company leaders see growth opportunities for their enterprises this year, according to a report by the Economist Intelligence Unit commissioned by law firm Norton Rose.
The global survey, CEO Briefing 2009, brought together the opinions of 924 CEOs and executives worldwide. The findings revealed that 49 per cent of companies planned to do at least one M&A deal this year, signalling that a number of firms are planning to take advantage of the market environment to expand their businesses.
The greatest obstacle faced by these acquisitive entities is likely to be funding and a lack of debt financing. As a result, 65 per cent of respondents who planned to pursue a deal said they would fund it with cash and shares.
The survey also showed that 55 per cent of CEOs still had a positive outlook for their business in the next 12 months, however, this figure was down from the peak of 89 per cent in January 2007.
CEOs also shared their plans to make investments in Asia as the region is perceived as having the most potential for revenue growth this year.
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