While the Deloitte report shows an uptick post Brexit in US/UK deal activity the longer term prognosis is not as rosy.
There is no question the devaluation in sterling created deals in the second half of the year. UK-based businesses coveted by US acquirers suddenly became affordable and many deals that had looked like longer opportunities became immediate priorities for cash-rich strategics.
However, we may have already seen the top of the market on those deals.
Instead there are head winds building from the US and Europe and I anticipate a shift in activity in the next year or so. That is not to say UK/US deals will not happen; of course they will. But with trade barriers rising in the US and between Europe and the UK there is already evidence that US strategics are backing away from UK deals when there are easier pickings closer to home.
So we are likely to see more US domestic activity with America First fuelling domestic US mergers.
In addition UK companies are looking to Europe to plan get-arounds to trade barriers so UK/EU deals should increase.
In the longer term, once Brexit has happened and the special relationship has given the US and UK a new trade deal one may see a resurgence of US/UK deal activity.
So 2017-2019 looks less rosy for UK sellers but a good time for US sellers and potential EU sellers.
The special M&A relationship survives Brexit vote: US businesses continue to target UK deals