Lexpert magazine features articles and columns on developments in legal practice management, deals and lawsuits of interest in Canada, the law and business issues of interest to legal professionals and businesses that purchase legal services.
Issue link: https://digital.carswellmedia.com/i/1544329
4 www.lexpert.ca Feature Feature tuations, and market volatility. There's pent-up demand to do deals, pressure on boards and CEOs, and private equity has a lot of dry powder, creating a more friendly environment for M&A." Stevens notes that market participants increasingly internalize regulatory and policy developments. "Even decisions that would have caused major disruption in the past, like the recent US Supreme Court ruling against President Donald Trump's so-called Liberation Day tariffs, have a more muted impact this time. Investors and strategic players adapt to a new normal," he says. Sectoral trends remain clear. Energy, mining, and infrastructure continue to dominate in M&A, supported by government priorities and policy signals in these areas. Gingrich explains that the energy sector, including traditional and renewable assets, is undergoing multi- year consolidation. "Renewables are a key element of govern- ment policy, and alignment with expected returns creates interesting opportunities," she says. Meanwhile, mining activity benefits from high commodity prices, while technology and AI-related acquisitions are increasingly strategic, reflecting corporate efforts to build internal capabilities externally. Infrastructure also remains a key area of interest, driven by public spending commitments. Lawyers' roles have evolved beyond transactional documentation toward stra- tegic advisory. Gingrich says, "Clients are more informed than ever, often using AI for modelling and preliminary due dili- gence. That lets us focus on helping them execute strategy, justify decisions to share- holders, and structure deals effectively." Stevens emphasizes strategy in practice: "The deals where we add the most value are those where we participate in strategy discussions, facilitate negotiations, and provide practical advice that balances legal and business considerations." Deal structuring is also evolving. Earn- outs, contingent considerations, and representation and warranty insurance M&A FINDS ITS FOOTING FOR 2026 MERGERS AND ACQUISITIONS LAWYERS SAY THAT DESPITE TARIFF TURBULENCE AND MARKET VOLATILITY, THERE'S GROWING CONFIDENCE IN DEAL MAKING, WRITES ZENA OLIJNYK CANADA'S MERGERS and acquisitions landscape demonstrates resilience heading into 2026, reflecting both a return of mega deals and a growing sophistication among clients. After a slower start in 2025, deal activity accelerated in the latter half of the year, setting the stage for an active 2026. Sarah Gingrich, partner and co-leader of capital markets and mergers and acqui- sitions at Fasken Martineau DuMoulin LLP, says, "We are starting to see the mega deals happening, particularly in the energy space and in mining." That momentum carries into 2026, she adds, pointing to lower interest rates and controlled inflation as catalysts for deal-making. Sean Stevens, who shares leadership of the capital markets and M&A group, agrees, noting that resolving long-standing valuation gaps helps unlock transactions. "Interest rates come down, inflation stays under control, and people become more comfortable with uncertainty around tariffs and other situations, which allows deals to get done," he says. Both lawyers emphasize the market's evolving comfort with vola- tility. Gingrich observes, "People get used to geopolitical uncertainty, tariff fluc-