Insights

 

Stanton Chase: Upside in the Energy Downturn

Stanton Chase finds that despite the recent downturn in oil prices this might be a good time to invest. History has shown that downturns in the oil and gas industry do not last long. Despite the low prices, the world consumes about 93 million barrels of oil a day and that number is growing. At the same time, merger and acquisitions activity has heated up with $63 billion U.S. invested M&A deals.

Among the trends:

  • Large scale corporate consolidation is currently taking place.
  • M&A activity has been largely driven by commodity prices.
  • Reorganization and restructuring—including top executive talent, projects and spending programs.
  • Added value in companies who understand the increasing role of technology.
  • Low-cost operators with strong balance sheets are taking advantage of asset sales.

The full article is published on Stanton Chase’s website. Read the full article.

 

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