Goldman Sachs says on track for near-record M&A volumes in 2026

NEW YORK, May ​28 (Reuters) - Goldman ⁠Sachs' expects merger and acquisition volumes ​for the industry this year are on course to approach a 2021 record, ​with ‌corporate activity driving dealmaking, its president John Waldron said on Thursday.

"We're on track to ⁠be near the record, if not breaching ⁠the record of 2021. Our ​backlogs feel good. Activity is remaining strong," Waldron told a financial conference in New York.

"Interestingly, it's really a corporate-led market."

Goldman, the world's top ​merger and ‌acquisition adviser for over two decades, has benefited from strong global dealmaking, which recently rebounded after a sharp slump in the weeks after the start of the Iran war.

It has worked on several large ​transactions, including advising Unilever on the planned merger of its food business with ‌McCormick to create a $65 billion company. Turbulence linked to the war in Iran and swings in ‌valuations have yet to deter corporate dealmaking as transactions in the first quarter exceeded $1.2 trillion, LSEG data shows, and dealmakers say much more is in ​the pipeline.

The overall value of M&A stood at a record $5.8 trillion in 2021.

Waldron said ‌the bank is constructive about the market for initial public offerings, adding the likelihood of success of some mega IPOs could usher in more ⁠deals.

"We tend ⁠to see an enormous amount of liquidity ‌and capital in the world that wants to allocate into growth into this theme, particularly ​when you get ​into some pretty exceptional companies," he said, without ‌naming the firms. Goldman Sachs secured the much-coveted lead left position in Elon Musk's rocket and satellite maker SpaceX's initial public offering. (Reporting by Saeed Azhar and Arasu Kannagi Basil; Editing by Gus Trompiz)

Goldman Sachs Group, Inc.

Unilever

Mccormick & Co., Inc.