2018 M & A activity in Canada will usher in growth due to rising stock markets a

Investment bankers believe the Canadian M & A activity is expected to see growth in 2018 after experiencing a slowdown in 2017 due to the rising stock market and the U.S. tax reform.

Photo Credit: March 2016, Washington, DC A rider passes the U.S. and Canadian flags flying over the Eisenhower office tower. REUTERS / Kevin Lamarque
Thomson Reuters data released on Thursday showed that in 2017 the size of the Canadian mergers and acquisitions fell 6% to 239.7 billion US dollars in 2016 to 2,551 billion.

The uncertainty surrounding the tax reform contained the 2017 M & A activity, but given the passage of the tax reform in the United States at the end of last year, bankers expected it would enhance the attractiveness of U.S. companies to Canadian companies and attract capital flows to mergers and acquisitions field.

 
According to the tax reform that President Trump is pushing for, U.S. corporate tax has plunged from 35% to 21%.

In the meantime, both the Canadian and U.S. stock markets have hit record highs, and the booming stock market by bankers will also boost M & A activity.