Middle-Market M&A Opportunities Abound in Texas Despite Broader Market Uncertainty

In an article published by The Texas Lawbook, David Washburn, a partner and co-chair of Katten's Mergers & Acquisitions and Private Equity practice, explained that while middle-market private equity firms have mixed expectations for US deal activity in 2023, conditions in Texas suggest the state's M&A market will have a busy year despite worries of broader economic turbulence ahead.

Citing Katten's 2023 Middle-Market Private Equity Report and Texas Lawbook reporting, David noted that even as US M&A volumes declined last year — including a PE activity slowdown — corporate dealmakers in Texas outpaced the national environment and worked on a record 1,082 transactions in 2022.

With Katten report survey respondents indicating optimism about deal activity in sectors such as tech, finance and healthcare, David said, "That bodes well for Texas, which has cultivated a significant number of tech startups — not just in Austin, but in cities like Dallas — and remains diversified in areas like healthcare and insurance." He added, "Texas is also prepared to leverage its dominance in traditional energy sectors to accelerate the broader shift to alternative energy sources, which could produce a windfall for dealmakers in the state."

Read David's article:

"Middle-Market M&A Opportunities Abound in Texas Despite Broader Market Uncertainty," The Texas Lawbook, April 4, 2023