Professional services group EY’s latest biannual Australasia Capital Confidence Barometer shows 44 per cent of companies plan to pursue acquisition opportunities in the next year. Of those, 70 per cent are looking overseas for potential targets.
The lack of growth has led 55 per cent of companies to focus on operational efficiency and cost reduction amid pressure on margins. The report shows 22 per cent of companies are actively seeking growth, down from 54 in the last report.
EY’s report is based on a survey of over 1600 senior executives in 54 countries including 127 in Australia and New Zealand.
Julie Hood is Managing Partner, Transaction Advisory Services at Ernst & Young.