The trend of consolidation has been a gold rush over the past few years for almost all industries across the globe. 2017 has set a record for most number of mergers and acquisitions. Over 50,600 transactions worth in excess of $3.56 Trillion were announced worldwide in 2017, according to the Institute for Mergers, Acquisitions and Alliances (IMAA).
Few of the major and biggest deals were witnessed by the US in 2017: from big-dollar deals like CVS Health-Aetna (valued at $69 Billion) to smaller, yet important, deals like Verizon-Yahoo (valued at $4.5 Billion).
The M&A activity is on a fast lane, but one thing consumers need to know is that lesser competition paves way to increased pricing. This is one of the reasons that the multi-billion dollar deal of AT&T and Time Warner is facing immense pressure from the Justice Department. Though major reshuffling has its own benefits, the uncertainty surrounding the competition and pricing remains a big concern.