five hundred magazine > Practice area spotlight: M&A > Sweden’s M&A boom

Sweden’s M&A boom

Erik Fahlgren, Carl-Johan Pousette and Marcus Tipner predict further growth in a country that is already experiencing an increase in work, both domestically and internationally

Please give us an overview of the current legal market in Sweden and how any recent developments have impacted your practice?

The Swedish M&A market (both private and public) is booming and we have noticed a dramatic increase in our M&A practice. The use of M&A/W&I insurance continue to increase in the Swedish market, which also impacts the way the majority of competitive M&A transactions are run.

 

What significant trends exist in the M&A market presently? Are you seeing these just domestically or internationally as well?

The increase in Swedish M&A is both domestic and international. We have seen an increase of international buyers looking at Sweden for acquisitions (industrial as well as financial sponsors, many of which are looking to invest in small- and medium-sized niche technology driven companies) as well as an increase of Swedish-based buyers making significant acquisitions outside Sweden (industrial and financial sponsors).

What are the three biggest challenges to practising M&A in Ireland at the moment?

It is difficult to identify three challenges. We would however say that the biggest challenge facing the Swedish legal M&A market is to hire and keep young, talented lawyers to meet the higher demand of our services.
How does M&A fit into the firm as a whole? Is it easy to collaborate with
other teams?

In our firm we have a seamless collaboration between departments and we have a very good working relationship with other M& A firms both in Sweden and internationally. We have seen an increase of M&A transactions generated to the firm by our specialist teams within other practice areas such as banking and finance (including financial compliance) and insurance.

What advice would you give to the next generation of M&A lawyers?

Be your best. M&A will always be an interesting and rewarding area to practice. A good modern M&A lawyer cannot only be a ‘legal advisor’ bust must also understand and contribute to the client’s financial and business rationales.

 

What are your predictions for M&A in Sweden over the next five years?

Unless there is an unexpected macro change, M&A will probably continue to grow the next two to three years. A turn in the market is probably four to five years away.