US Shale Poised for $230 Billion M&A Boom After Cash Windfall

The US shale sector is poised for a big return to dealmaking this year as some of the largest oil companies look for ways to deploy cash, according to McKinsey & Co.

As much as $230 billion may be spent on oil and natural gas deals in North America, ending a three-year slide in valuations, the consultant said in a report released Friday. Mergers and acquisitions are expected to absorb more cash this year than capital spending or investor-friendly allocations like buybacks, according to the report.

Source: McKinsey & Co.

Source: Bloomberg

“A new M&A wave is coming,” McKinsey consultants including Robert Belanger wrote in ...