The European mergers and acquisitions (M&A) market has normalised thus far in 2022 after an unusually buoyant 2021. Although activity levels are trending down, they remain above pre-pandemic levels. The easing of the Covid-19 pandemic, which facilitated a rebound of consumer demand and the return of business activity, translated into a boom in economic growth last year.
The prospect of a hawkish turn in monetary policy to rein in prices was already looming large in early 2022. Inflation proved to be more deeply entrenched than the European Central Bank (ECB), the Bank of England (BoE) and other policy-makers had initially anticipated.
