With Trump in, dealmaking is back

‍

Wall Street expects a Trump presidency to unlock more merger and acquisition (M&A) activity.

‍

Dealmaking has slowed in recent years due to high interest rates, soaring company valuations, and a tight regulatory environment.

‍

Goldman Sachs projects a 20% increase in M&A activity in 2025 over this year.

‍

While all industries should see some uptick, pharmaceuticals appear poised for a significant resurgence. Lina Khan, the Chair of the Federal Trade Commission, has taken a particular interest in the industry over the past few years, arguing monopolies will stifle drug development and hurt consumer choice. Notably, Khan blocked Sanofi’s proposed acquisition of a drug from Maze Therapeutics. The FTC also sued to block Amgen’s $27.8Bn acquisition of Horizon Therapeutics.

‍

With Trump in, Khan is almost certainly out. Dealmaking just might be back.

‍