Latest news with #MichaelDobner
Yahoo
6 hours ago
- Business
- Yahoo
Promising policy action brings hope amidst continued economic challenges: PwC's 2025 M&A mid-year update released
Transformative policy actions could boost Canada's role in North American supply chains and stabilize ties with the US. Trend shows decline in inbound and locally sourced deals; overall deals activity comes in at approximately 1000 deals totalling $134B announced since January 2025. Canadian family offices rebound: deal values increased by 16% from 2023 to 2024, signaling renewed momentum. TORONTO, June 18, 2025 /CNW/ - PwC Canada's 2025 mid-year Canadian M&A update highlights a pivotal moment for the Canadian economy. Amidst global uncertainty and a cooling domestic outlook, Canada is pursuing a bold policy agenda aimed at restoring national economic resilience. While these efforts are rooted in domestic priorities, they may also yield a valuable secondary benefit: a more stable and strategically aligned relationship with the United States. "Canada's current policy direction focuses on building a stronger, more self-reliant economy," said Michael Dobner, National Leader of Economics and Policy Practice, PwC Canada. "This approach also helps foster a more constructive and complementary relationship with the US, one based on shared interests rather than dependency." Economic update: Between January and May 2025, Canadian companies announced 996 deals totaling $134 billion. However, the report notes declines in inbound and locally sourced deals in Canada. This reflects a broader climate of caution, as businesses delay investments and expansion plans in response to persistent uncertainty. PwC's baseline projection for Canadian GDP growth in 2025 remains below 1%. Despite these headwinds, Canada's trade position with the United States remains comparatively strong. Canadian exporters are generally benefiting from relatively low tariffs, especially when compared to countries like China, which continue to face significant trade barriers to the United States. This advantage can help some Canadian businesses to maintain or even grow their market share in the US, offering a rare bright spot in an otherwise subdued economic landscape. In this context, "the current negotiations between Canada and the United States, which benefit from Canada's new vision, may further strengthen Canada's relative trade position with the United States," added Dobner. The report outlines a suite of policy priorities shaping Canada's new vision. Key priorities now include streamlining regulations, initiating large-scale infrastructure projects, increasing investment in defence and Arctic development, removing interprovincial trade barriers, fast-tracking the integration of artificial intelligence and changing the immigration system to focus on attracting highly skilled individuals to Canada. These initiatives are designed to address Canada's productivity and competitiveness challenges, and, if successful, will also position the country to play a more active role in North American supply chains and innovation ecosystems. If early policy actions are interpreted by market players as genuine, practical and decisive, PwC Canada suggests that meaningful improvements in Canada's economic outlook could begin as early as 2026. All levels of government have a crucial role in providing these signals over the coming months. While there is good reason for cautious optimism, the report notes that the global environment remains unpredictable. Potential global crises, financial crisis as a result of a loss of trust in the US dollar, or disruption of entire sectors by emerging technology could have significant consequences. Canadian businesses must stay vigilant, closely monitor global developments and adopt flexible, risk-aware strategies to navigate an uncertain future. Opportunities for Canadian family offices: The report also highlights the evolving role of Canadian family offices, which are emerging as increasingly influential players in the investment landscape. After a period of decline beginning in 2021, family office deal activity is rebounding. In Canada, deal values rose by more than 16% from 2023 to 2024. Key trends shaping this evolution: Club deals, where family offices co-invest with peers to access larger opportunities and share risk, are gaining traction globally. While only 23% of Canadian family office investments in 2024 were structured this way, compared to 71% globally in 2022, this gap signals untapped potential. Impact investing is on the rise. In 2024, Canadian family offices surpassed the 50% threshold for allocating capital to investments that generate measurable social or environmental impact alongside financial returns. These investments are increasingly aligned with national priorities such as productivity, innovation, and affordable housing. Direct investments, where family offices invest directly in businesses such as private equity, startups or M&A, have grown to represent 70% of global activity, up from a real estate-heavy focus a decade ago. In contrast, 69% of Canadian family office investments in 2024 remained in real estate, indicating potential opportunities to diversify investment portfolios. For more insights and to access the full report, visit About PwC Canada: At PwC Canada, we help clients build trust and reinvent so they can turn complexity into competitive advantage. We're a tech-forward, people-empowered network with more than 7,000 partners and staff in offices across the country. Across audit and assurance, tax and legal, deals and consulting, we help build, accelerate and sustain momentum. PwC refers to the Canadian member firm, and may sometimes refer to the PwC network. Each member firm is a separate legal entity. Please see for further details. Find out more by visiting us at: © 2025 PricewaterhouseCoopers LLP, an Ontario limited liability partnership. All rights reserved. SOURCE PwC Management Services LP View original content to download multimedia:
CTV News
13 hours ago
- Business
- CTV News
Federal policy bill brings hope in challenging economic times: expert
Michael Dobner, National Leader of Economics & Policy Practice at PwC Canada, joins BNN Bloomberg to discuss the outlook for M&A activity in Canada. Sorry, we're having trouble with this video. Please try again later. [5006/404] An economic and policy analyst is hopeful proposed legislation from the federal government will aid companies amidst global uncertainty and a cooling domestic outlook. Michael Dobner, national leader of economics and policy practice for PwC Canada predicts there could be a pickup in mergers and acquisition activity in 2026, particularly if Ottawa passes Bill C-5 aimed at faster project approvals. 'We are optimistic because we are hearing good signals from the federal government,' said Dobner. 'Bill C-5 is suggesting that the government is very serious about moving projects much faster.' A report from PwC Canada states Canadian companies announced 1,068 deals totaling $227 billion. However, the report notes a decline in inbound and locally sourced deals in Canada due to persistent uncertainty from U.S. President Donald Trumps tariffs. PwC's baseline projection for Canadian GDP growth in 2025 remains below one per cent. Bill C-5, the One Canadian Economy Act, establishes a statutory framework to remove federal barriers to the interprovincial trade of goods and services and to improve labour mobility within Canada. It aims to fast-track major projects deemed of national interest. 'We will see probably more investment starts to come in, especially if the signals from the government are continuing to show that it's serious and it's overcoming all the difficulties that it may face in trying to transform the Canadian government,' said Dobner. The firms note the bill is part of a suite of policy priorities shaping Canada's new vision. It states key priorities such as streamlined regulations, large-scale infrastructure projects, increased investment in defence and Arctic development, the removal of interprovincial trade barriers, fast-tracked integration of artificial intelligence and a changed immigration system to focus on attracting highly skilled individuals will address Canada's productivity and competitiveness challenges. 'The government has an agenda for housing, especially modular housing,' said Dobner. 'Let's not forget the defence sector, which is going to benefit from a big boost. So those are areas that we are seeing definitely a potential for further investments in 2026.' The report notes that if early policy actions are interpreted by market players as genuine, practical and decisive, PwC Canada suggests that meaningful improvements in Canada's economic outlook could begin as early as 2026. Dobner expects increased investment in mining, infrastructure, housing, and defence. 'We have seen critical minerals, which we think is a big catalyst for the Canadian economy, being a key central point in the G7 discussion, as well as the discussion or negotiation between the U.S. and Canada,' said Dobner. 'On the basis of the government showing seriousness and giving good signals, and the fact that our allies are coalescing around critical minerals, defence and AI, we are more optimistic about what would happen in 2026.' He acknowledged concerns that projects will be rushed. The Chiefs of Ontario are concerned it would undermine Indigenous rights and environmental protections. 'We are in an economic emergency,' said Dobner. 'I'm not putting out a political view, but from an economic standpoint, it may make sense.' While the report highlights good reason for cautious optimism, it notes that the global environment remains unpredictable. Potential global crises, financial crisis from a weakening U.S. dollar, or disruption of entire sectors by emerging technologies.
Yahoo
18 hours ago
- Business
- Yahoo
Trump's tariff war: Why Canada may be 'in the best position of any other country'
Canadian companies could be among the winners once the dust settles in U.S. President Donald Trump's global trade war, according to PricewaterhouseCoopers (PWC) Canada. An economist at the 'big four' accounting and consulting firm says certain Canadian exporters have a unique opportunity for growth in the U.S. market as products from China face tougher trade hurdles. Trump was spotted at this week's G7 meeting in Alberta wearing a lapel pin featuring American and Canadian flags. The U.S. president left the summit early on Monday, delaying potential strides by leaders in attendance to address the ongoing U.S.-led trade war. Trump and Prime Minister Mark Carney agreed at the event to strike a deal in 30 days that could resolve the trade conflict between the neighbouring nations. Michael Dobner, PwC Canada's national leader of economics and policy practice, says the current weighted average tariff rate applied to U.S. imports from Canada 'is likely the lowest of any country in the world.' While the Trump administration has placed punishing 50 per cent levies on Canadian steel and aluminum, as well as tariffs on certain automotive imports, the wide slate of goods compliant with the Canada-United States-Mexico Agreement (CUSMA) are currently exempt. Canada is maybe in the best position of any other countryMichael Dobner, PwC Canada's national leader of economics and policy practice 'Canada is maybe in the best position of any other country,' Dobner told Yahoo Finance Canada on Tuesday. 'The negotiation between Canada and the U.S. may further cement Canada's position over other countries as an exporter to the U.S.' This is especially true, he says, for Canadian companies competing against Chinese rivals for buyers in the American market in sectors like industrial equipment and building materials. 'We're going in the right direction as far as the U.S.,' Dobner said. 'If this is cemented in a trade deal with Canada only, Mexico isn't even involved, then that actually puts Canada in a very good position that may make Canada an interesting investment opportunity for foreign companies if they want access to the U.S.' PwC Canada says tighter trade ties between Canada and the U.S. could brighten the former's economic outlook as early as 2026. In a report published on Wednesday, the firm calls for Canadian gross domestic product (GDP) growth to remain well below one per cent for the remainder of 2025. Statistics Canada's latest GDP reading shows the economy grew at an annual rate of 2.2 per cent in the first quarter. Earlier this month, the Bank of Canada warned the economy will be "substantially weaker" in the second quarter of 2025, versus the start of the year as the full impact of U.S. import tariffs hits Canadian businesses. On Wednesday, Bank of Canada Governor Tiff Macklem called Carney and Trump's 30-day timeline for a trade deal 'very welcome news.' 'New U.S. tariffs have already shaken Canadian exporters. After an initial pull forward to get ahead of tariffs, exports to the United States have fallen sharply,' Macklem told reporters in Newfoundland and Labrador. In its 2025 mid-year Canadian M&A update released on Wednesday, PwC Canada says the volume and value of merger and acquisition deals between January and the end of May fell to 996 and $134 billion, respectively. Significant transaction announcements included Sunoco's (SUN) US$9.1 billion bid for Canadian fuel distributor Parkland ( and Whitecap Resources' ( $15 billion acquisition of Veren. "It's a little bit too early to assess the impact of tariffs and uncertainty," Dobner said. "You need another quarter to see whether this is going to have a strong impact." In the prior period, from July 1 to Nov. 30, 2024, PwC Canada tallied 1,068 deals, with a total value of $227 billion. Prior to the trade war, Dobner says PwC Canada expected falling interest rates to fuel a rise in dealmaking this year. Now, he says 'cautious optimism' about a Canada-U.S. deal to enhance trade ties has shifted those hopes to 2026. 'We could see meaningful improvements in Canada's economic outlook potentially beginning as early as 2026,' PwC Canada wrote in its report. 'We could also see increased transaction activity in the same time frame, particularly among companies positioned to participate, or pivot towards supply chains, in sectors such as infrastructure development and financing, defence, agri-food, AI applications, nuclear energy and natural resources.' According to a report in February from Kroll, a New York-based financial risk and advisory firm, corporate cash balances are at an all-time high in Canada, a positive sign for near-term M&A. 'There is an abundance of dry powder that private equity firms will eventually need to deploy,' wrote Howard Johnson, Kroll's head of Canadian M&A advisory, and country leader. 'Once buyers and sellers understand the scope of new trade policies, deal activity is expected to ramp up quickly.' Jeff Lagerquist is a senior reporter at Yahoo Finance Canada. Follow him on X @jefflagerquist. Download the Yahoo Finance app, available for Apple and Android.
Yahoo
21 hours ago
- Business
- Yahoo
Trump's tariff war: Why Canada may be 'in the best position of any other country'
Canadian companies could be among the winners once the dust settles in U.S. President Donald Trump's global trade war, according to PricewaterhouseCoopers (PWC) Canada. An economist at the 'big four' accounting and consulting firm says certain Canadian exporters have a unique opportunity for growth in the U.S. market as products from China face tougher trade hurdles. Trump was spotted at this week's G7 meeting in Alberta wearing a lapel pin featuring American and Canadian flags. The U.S. president left the summit early on Monday, delaying potential strides by leaders in attendance to address the ongoing U.S.-led trade war. Trump and Prime Minister Mark Carney agreed at the event to strike a deal in 30 days that could resolve the trade conflict between the neighbouring nations. Michael Dobner, PwC Canada's national leader of economics and policy practice, says the current weighted average tariff rate applied to U.S. imports from Canada 'is likely the lowest of any country in the world.' While the Trump administration has placed punishing 50 per cent levies on Canadian steel and aluminum, as well as tariffs on certain automotive imports, the wide slate of goods compliant with the Canada-United States-Mexico Agreement (CUSMA) are currently exempt. Canada is maybe in the best position of any other countryMichael Dobner, PwC Canada's national leader of economics and policy practice 'Canada is maybe in the best position of any other country,' Dobner told Yahoo Finance Canada on Tuesday. 'The negotiation between Canada and the U.S. may further cement Canada's position over other countries as an exporter to the U.S.' This is especially true, he says, for Canadian companies competing against Chinese rivals for buyers in the American market in sectors like industrial equipment and building materials. 'We're going in the right direction as far as the U.S.,' Dobner said. 'If this is cemented in a trade deal with Canada only, Mexico isn't even involved, then that actually puts Canada in a very good position that may make Canada an interesting investment opportunity for foreign companies if they want access to the U.S.' PwC Canada says tighter trade ties between Canada and the U.S. could brighten the former's economic outlook as early as 2026. In a report published on Wednesday, the firm calls for Canadian gross domestic product (GDP) growth to remain well below one per cent for the remainder of 2025. Statistics Canada's latest GDP reading shows the economy grew at an annual rate of 2.2 per cent in the first quarter. Earlier this month, the Bank of Canada warned the economy will be "substantially weaker" in the second quarter of 2025, versus the start of the year as the full impact of U.S. import tariffs hits Canadian businesses. On Wednesday, Bank of Canada Governor Tiff Macklem called Carney and Trump's 30-day timeline for a trade deal 'very welcome news.' 'New U.S. tariffs have already shaken Canadian exporters. After an initial pull forward to get ahead of tariffs, exports to the United States have fallen sharply,' Macklem told reporters in Newfoundland and Labrador. In its 2025 mid-year Canadian M&A update released on Wednesday, PwC Canada says the volume and value of merger and acquisition deals between January and the end of May fell to 996 and $134 billion, respectively. Significant transaction announcements included Sunoco's (SUN) US$9.1 billion bid for Canadian fuel distributor Parkland ( and Whitecap Resources' ( $15 billion acquisition of Veren. "It's a little bit too early to assess the impact of tariffs and uncertainty," Dobner said. "You need another quarter to see whether this is going to have a strong impact." In the prior period, from July 1 to Nov. 30, 2024, PwC Canada tallied 1,068 deals, with a total value of $227 billion. Prior to the trade war, Dobner says PwC Canada expected falling interest rates to fuel a rise in dealmaking this year. Now, he says 'cautious optimism' about a Canada-U.S. deal to enhance trade ties has shifted those hopes to 2026. 'We could see meaningful improvements in Canada's economic outlook potentially beginning as early as 2026,' PwC Canada wrote in its report. 'We could also see increased transaction activity in the same time frame, particularly among companies positioned to participate, or pivot towards supply chains, in sectors such as infrastructure development and financing, defence, agri-food, AI applications, nuclear energy and natural resources.' According to a report in February from Kroll, a New York-based financial risk and advisory firm, corporate cash balances are at an all-time high in Canada, a positive sign for near-term M&A. 'There is an abundance of dry powder that private equity firms will eventually need to deploy,' wrote Howard Johnson, Kroll's head of Canadian M&A advisory, and country leader. 'Once buyers and sellers understand the scope of new trade policies, deal activity is expected to ramp up quickly.' Jeff Lagerquist is a senior reporter at Yahoo Finance Canada. Follow him on X @jefflagerquist. Download the Yahoo Finance app, available for Apple and Android. 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Cision Canada
2 days ago
- Business
- Cision Canada
Promising policy action brings hope amidst continued economic challenges: PwC's 2025 M&A mid-year update released Français
Transformative policy actions could boost Canada's role in North American supply chains and stabilize ties with the US. Trend shows decline in inbound and locally sourced deals; overall deals activity comes in at approximately 1000 deals totalling $134B announced since January 2025. Canadian family offices rebound: deal values increased by 16% from 2023 to 2024, signaling renewed momentum. TORONTO, June 18, 2025 /CNW/ - PwC Canada's 2025 mid-year Canadian M&A update highlights a pivotal moment for the Canadian economy. Amidst global uncertainty and a cooling domestic outlook, Canada is pursuing a bold policy agenda aimed at restoring national economic resilience. While these efforts are rooted in domestic priorities, they may also yield a valuable secondary benefit: a more stable and strategically aligned relationship with the United States. "Canada's current policy direction focuses on building a stronger, more self-reliant economy," said Michael Dobner, National Leader of Economics and Policy Practice, PwC Canada. "This approach also helps foster a more constructive and complementary relationship with the US, one based on shared interests rather than dependency." Economic update: Between January and May 2025, Canadian companies announced 996 deals totaling $134 billion. However, the report notes declines in inbound and locally sourced deals in Canada. This reflects a broader climate of caution, as businesses delay investments and expansion plans in response to persistent uncertainty. PwC's baseline projection for Canadian GDP growth in 2025 remains below 1%. Despite these headwinds, Canada's trade position with the United States remains comparatively strong. Canadian exporters are generally benefiting from relatively low tariffs, especially when compared to countries like China, which continue to face significant trade barriers to the United States. This advantage can help some Canadian businesses to maintain or even grow their market share in the US, offering a rare bright spot in an otherwise subdued economic landscape. In this context, "the current negotiations between Canada and the United States, which benefit from Canada's new vision, may further strengthen Canada's relative trade position with the United States," added Dobner. The report outlines a suite of policy priorities shaping Canada's new vision. Key priorities now include streamlining regulations, initiating large-scale infrastructure projects, increasing investment in defence and Arctic development, removing interprovincial trade barriers, fast-tracking the integration of artificial intelligence and changing the immigration system to focus on attracting highly skilled individuals to Canada. These initiatives are designed to address Canada's productivity and competitiveness challenges, and, if successful, will also position the country to play a more active role in North American supply chains and innovation ecosystems. If early policy actions are interpreted by market players as genuine, practical and decisive, PwC Canada suggests that meaningful improvements in Canada's economic outlook could begin as early as 2026. All levels of government have a crucial role in providing these signals over the coming months. While there is good reason for cautious optimism, the report notes that the global environment remains unpredictable. Potential global crises, financial crisis as a result of a loss of trust in the US dollar, or disruption of entire sectors by emerging technology could have significant consequences. Canadian businesses must stay vigilant, closely monitor global developments and adopt flexible, risk-aware strategies to navigate an uncertain future. Opportunities for Canadian family offices: The report also highlights the evolving role of Canadian family offices, which are emerging as increasingly influential players in the investment landscape. After a period of decline beginning in 2021, family office deal activity is rebounding. In Canada, deal values rose by more than 16% from 2023 to 2024. Key trends shaping this evolution: Club deals, where family offices co-invest with peers to access larger opportunities and share risk, are gaining traction globally. While only 23% of Canadian family office investments in 2024 were structured this way, compared to 71% globally in 2022, this gap signals untapped potential. Impact investing is on the rise. In 2024, Canadian family offices surpassed the 50% threshold for allocating capital to investments that generate measurable social or environmental impact alongside financial returns. These investments are increasingly aligned with national priorities such as productivity, innovation, and affordable housing. Direct investments, where family offices invest directly in businesses such as private equity, startups or M&A, have grown to represent 70% of global activity, up from a real estate-heavy focus a decade ago. In contrast, 69% of Canadian family office investments in 2024 remained in real estate, indicating potential opportunities to diversify investment portfolios. For more insights and to access the full report, visit About PwC Canada: At PwC Canada, we help clients build trust and reinvent so they can turn complexity into competitive advantage. We're a tech-forward, people-empowered network with more than 7,000 partners and staff in offices across the country. Across audit and assurance, tax and legal, deals and consulting, we help build, accelerate and sustain momentum. PwC refers to the Canadian member firm, and may sometimes refer to the PwC network. Each member firm is a separate legal entity. Please see for further details. Find out more by visiting us at: © 2025 PricewaterhouseCoopers LLP, an Ontario limited liability partnership. All rights reserved.
