Morgan Stanley Australia's Newton on M&A Outlook

The video discusses current market trends, focusing on the healthcare sector's M&A activities, the role of private equity in market valuation, and the impact of government policies on the energy sector. It also explores trends in tech and manufacturing deals, highlighting the influence of private equity and regulatory changes.

What makes the healthcare sector attractive for M&A activities?

• Lack of private equity interest

• High regulatory barriers

• Defensive nature and reduced market multiples

• High market multiples

How has private equity influenced the Australian market recently?

• By avoiding investments in renewable energy

• By reducing the cost of debt

• By increasing fundraising and office presence

• By focusing solely on tech investments

What impact does the change in government have on deal-making?

• It has no impact

• It causes a pause in the energy sector

• It accelerates tech investments

• It reduces private equity interest

What trend is observed in investment preferences?

• A shift from tech to value

• A decline in manufacturing investments

• A shift from value to tech

• A focus on high-risk investments

Despite market shifts, why is there still interest in tech deals?

• Tech sector is declining

• Tech assets are considered low quality

• Tech assets are oversold and present opportunities

• Tech investments are risk-free