Making Sense

Navigating volatility: M&A and leveraged capital markets update

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Apr 22, 2025
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INSIGHT

Debt Markets Remain Rational

  • Despite market volatility, high yield debt markets remain rational and liquidity is strong compared to 2023.
  • Private credit is increasingly filling financing gaps due to its resilience and growing fund size, leading M&A financing.
INSIGHT

Treasury Market Complexity

  • Treasury rates have not fallen much despite market uncertainty due to complex selling pressures and supply.
  • Bond markets now focus mainly on spreads, which depend on tariff news and economic outlook.
INSIGHT

M&A Patience Prevails

  • M&A activity currently exhibits a wait-and-see approach, delaying new deals until market clarity returns.
  • Ongoing deals continue cautiously, but new transactions are often postponed by weeks to months.
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