PLC activity to dominate deals market, says Lloyds director
Public limited companies (PLC's) will continue to consolidate in 2012, one East Midlands expert has told Insider. Dene Jones, area director at Lloyds Bank Corporate Markets, predicted that strategic acquisitions by the region's larger corporates will "feature heavily" in the deals market over the next year.
Jones said large PLCs which have built up significant cash reserves would be concentrating on making key acquisitions and considering consolidating activites in a bid to grow.
He said they would also be likely to grow their international trade quotas.
He said: "We're anticipating that even more businesses across the East Midlands will focus on international trade in 2012 when seeking out opportunities for growth. Emerging markets in particular continue to be an attractive prospect for those looking to expand their reach beyond Europe."
Jones admitted that uncertainty in the eurozone remains a "primary concern" for local government and businesses alike.
"It's no wonder many management teams continue to watch and wait before making big plays for growth," he said. "However, I think 2012 will continue to see activity and movement in the regional market as businesses which have proved their resilience over the past few years continue to grow their market share."
He said that there would be winners and losers over the coming year, and said both traditional and emerging sectors could be 'ones to watch'.
"The East Midlands has strength and expertise in lots of diverse sectors like food and drink and engineering. It's these traditionally robust sectors along with emerging areas such as those operating in the green sector which will help drive regional growth next year," he predicted.
