Pace of Media Deals Likely to Surpass 2005

[SOURCE: AdAge, AUTHOR: Nat Ives]
Media mergers and acquisitions this year are likely to outpace 2005 levels, according to the latest annual survey from AdMedia Partners, the investment banking and advisory firm that focuses on the publishing, advertising and interactive businesses. About two-thirds of media and financial executives surveyed predicted that mergers and acquisitions activity would increase in 2006, AdMedia said. Respondents also predicted that much of the activity they foresee is likely to cross sectors. “Demand for digital content was clear in both the survey data and open-ended comments, and we expect to see more acquisitions of cross-media partners by traditional media companies,” said Mark Edmiston, managing director. “Down the road, tightening of lending criteria and potential increases in capital gains tax rates could make M&A less attractive, but in 2006 conditions remain favorable.”
http://www.adage.com/news.cms?newsId=47464