Mergers and acquisitions (M&A) have always been a key strategic tool for companies looking to grow, adapt to market changes, and tackle new challenges. In an ever-evolving economic context, Professor Felice Marinelli, founder of Marinelli Independent Advisory & Tax Firm, offers a comprehensive insight into the future scenarios for Italian businesses. From technological changes to market dynamics, strategic consulting in the M&A field is undergoing a transformation, which demands new perspectives and approaches.
By Roberta Imbimbo
Prof. Marinelli, what scenarios lie ahead for businesses?
In the coming years, companies will face numerous challenges. Technological evolution, particularly related to artificial intelligence, will have a significant impact on operational and business models. Simultaneously, we will witness a reorganization of reference markets and changes in consumer preferences, who will demand increasingly integrated solutions between technology and experience. Added to these challenges will be the reduction of the available workforce and the increase in investment volumes for research and development, facilities, machinery, and employee training – all essential factors for successfully navigating the ongoing transformation.
How are companies in Italy currently moving?
In Italy, the entrepreneurial landscape is evolving driven by an increasing strategic awareness, with many companies adopting a development approach to face the challenges of an increasingly competitive and globalized market. In this context, we are witnessing a transformation in growth models, with many companies turning toward strategic alliances and collaborations between sectors and production chains, rather than focusing solely on traditional mergers and acquisitions (M&A). This shift favors “coopetition” (cooperation among competitors) over competition.
So, in addition to M&A activity, are companies also focusing on cooperation?
Absolutely! Furthermore, there is a growing awareness among companies of the need to simplify their business models. This translates into an increasing number of spin-offs and asset disposals, operations that allow companies to free up resources to reinvest in their core business, focusing on what truly adds value and competitiveness. This rationalization process allows companies to reduce organizational complexity, optimize resources, and focus on strategic growth areas. Another factor driving this dynamic is the less restrictive monetary policy adopted by many countries, which is facilitating access to credit for businesses. Favorable financial conditions are encouraging investments and stimulating more dynamic M&A activity, creating a favorable environment for consolidation and development. This scenario suggests that in the coming years, M&A activity will see growth rates surpassing those of 2024, with companies increasingly moving toward more agile, efficient, and innovation-driven strategies.
What do you consider to be the most dynamic sectors?
Several sectors will continue to follow the consolidation trend that marked the past year, with a particular focus on those undergoing significant global changes. The industrial sector will remain a key player in the M&A market in Italy, although it will face difficulties in the automotive sector. Despite challenges related to the transition to electric vehicles and global supply chain issues, the industrial sector will continue to attract investments due to the growing demand for innovation and the expansion of production chains, with a particular focus on sustainability and operational efficiency. The Consumer & Retail sector will continue to focus on consolidation, aiming to optimize sales networks and redefine target markets. The Energy sector has excellent growth prospects, fueled by the energy transition and the push toward renewable energy sources. The Life Science & Healthcare sector saw a boom in recent years but showed signs of stabilization in 2024. However, growth expectations remain high, particularly due to financial investors who are encouraging new capital flows and driving innovation and optimization in healthcare services and biotechnology. The Tech sector will continue to maintain a significant share of the M&A market, driven by ongoing digital transformation. Emerging technologies will continue to lead M&A demand as companies seek to expand their technological capabilities to remain competitive in an increasingly interconnected global context.
What are the prospects for the Italian M&A market in 2025?
For 2025, a moderate economic growth rate of just under 1% of GDP is expected, along with a continued positive, almost record-breaking dynamic for M&A operations in Italy. The high liquidity levels and less restrictive monetary policy will continue to stimulate investments. This scenario will also attract foreign investments, especially with the incentives provided to foreign companies investing in Italy.
What does the future hold for the Italian M&A market?
2025 could be the year of confirmation or transformation for the M&A market in Italy, particularly in light of the new fiscal developments regarding extraordinary operations. Growth and consolidation opportunities are strongly influenced by global economic policies and domestic market dynamics. Italian companies will continue to play a key role in global expansion strategies. Meanwhile, international investors will closely monitor the opportunities offered by the Italian market.
