Almost six months into the year, the impact of the credit squeeze is becoming clear. The crisis, which started in the US subprime mortgage market, has now infected almost every corner of the financial markets.
As the data show, it has also had a profound effect on companies’ willingness to raise capital and their appetite for engaging in M&A. On one level, this may seem surprising. After all, while the crisis has disrupted the money markets, it should not necessarily have affected the ability of companies to list their shares or buy each other.
