Why M&A small & mid-cap rather than large cap ??

Hi everybody !

Would like to know why would you rather advise on small & mid-cap M&A operations rather than large cap ? Large cap seems more interesting but I spoke to insiders saying the opposite...

4 Comments
 

I started my career off at a "no-name" boutique before lateraling to a top MM. I will take larger deals over smaller deals any day of the weak. Sure, the smaller deals might have more simplified financial modeling, but they require a lot more hand holding, more thorough DD, random process hiccups that you would not expect, etc. I am of the opinion that smaller M&A deals are more time consuming and sometimes more complex than larger ones.

 

I agree with Sil on the implications of smaller deals leading to more hand-holding, etc. However, you may be the kind of person who enjoys the people aspect of this. If you're a straight computer, you'd probably rather have access to pre-chewed data that you can work with... if you like dealing with management, being on the phone explaining things, etc. then smaller deals offer more exposure.

 
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