Brexit could threaten M&A in Europe, says Intralinks

Brexit could threaten the number of mergers and acquisitions (M&A) which occur across Europe, according to a survey by Intralinks Holdings on Friday.

On 23 June if Britain votes to leave the European Union, 65% of M&A professionals expect the value of European assets to fall.

The erosion of European assets could have drastic implications for the British economy and the economies of the continent for years, such as Germany, which is Europe’s largest economy, which relies on cross-border deals from China, according to the technology content provider.

In the survey 75% of M&A professionals believed Brexit will have a negative economic effect and 67% believed it will negatively affect mergers and acquisitions in Europe.

Philip Whitchelo, vice president for product marketing and strategy at Intralinks, said: “There’s clearly a consensus among dealmakers that Brexit will lead to chaos for European mergers and acquisitions.

“A Leave vote from the UK could severely impact all of Europe’s assets, with foreign buyers bidding less for them if the UK pulls out of Europe. This could have drastic consequences on the European economy - and of course the UK economy - for a number of years.”

However, the survey, which 1,421 people participated in the first week of June, revealed 80% of global dealmakers think that Britain will remain in the EU. M&A professionals in the UK also agreed with 80% think the country will remain.