Top 3 Stocks to Watch for Potential Mergers and Acquisitions in 2025
As we head into 2025, experts are predicting an increase in mergers and acquisitions (M&A) activity. This is due to expectations of deregulation under the new U.S. administration and a more accommodating monetary policy from the Federal Reserve. It’s a shift from the challenges faced in 2022 and 2023, such as higher rates and uncertain valuations.
One company that has been in the spotlight for potential M&A is 7/11, the popular convenience store chain owned by Seven & I Holdings. In 2024, there was a failed buyout attempt by Canadian company Alimentation Couche-Tard. The Ito family, founders of 7/11, countered with their own offer of $60 billion. While the outcome is uncertain, 7/11 remains a likely M&A target due to these offers and potential restructuring plans.
Another potential target for M&A is Laurentian Bank, a Canadian bank seeking acquisition due to stiff competition from larger banks. Despite a failed attempt in 2024, there’s anticipation that one of the big six Canadian banks may make a bid in 2025.
First Quantum Minerals, a Canadian mining company specializing in copper, is also on the radar for a possible takeover in 2025. The demand for copper in renewable energy sources could make it an attractive target for larger mining companies.
With interest rates expected to decrease and a new administration in the U.S., 2025 is shaping up to be a big year for M&A. The shift towards a more M&A-friendly environment under the new administration could lead to a flurry of deal-making activity. Stay tuned for more updates on potential targets and opportunities in the M&A market.
