A quick note from meetings with sources in the M&A and IPO space: bankers are downright giddy these days, and mostly, it’s thanks to Facebook.
An M&A banker told me the other day that, after a slow October through March, Facebook’s $1 billion acquisition of Instagram has re-ignited the tech M&A, which he says is about to get very hot. Even Apple is out looking for things to buy, we’re told.
Meanwhile, the view on Wall Street is that the Facebook IPO – only weeks away now – will “open the IPO window” for a whole slew of tech companies that “couldn’t get out” for the past 18 months or so. The thinking is that your average mutual fund manager will crave exposure to Facebook, but, because the company is only floating $5 billion, will settle for anything in “tech.”
Here is a really terrible video illustrating bankers being giddy: