Tech ‘Capitulation': BofA Top Banker Rick Sherlund Predicts Breakout in Mergers Due to Troubled Economy

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Tech ‘Capitulation': BofA Top Banker Rick Sherlund Predicts Breakout in Mergers Due to Troubled Economy
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Top investment banker Rick Sherlund of Bank of America sees a wave of struggling companies putting themselves up for sale at cheaper prices due to the downturn.

Sherlund and his team are very active in the M&A market.

"You have private equity with a boatload of cash, and they need functioning debt markets for leverage to do deals," Sherlund noted."They're very eager and actively looking at this sector... It suggests that [for] M&A, in absence of an IPO market, we're just going to see a lot more consolidation coming in the sector.""[The IPO market] is not open. But when the window does open back up, you are going to see a lot of companies going public," he added.

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