Unlocking Success in Mid-Market M&A: Insights from Mario Nigro of Stikeman Elliott, LLP

On this week's episode, we welcome Mario Nigro, a partner at Stikeman Elliott, to discuss navigating the world of search funds and recent trends in mid-cap M&A.

Mario shares his journey to becoming an M&A expert and offers insights into the evolving landscape of mergers and acquisitions, particularly in the Canadian market.

He explains the rising popularity of the entrepreneurship-through-acquisition model and highlights the essential traits for aspiring search fund founders.

We also explore current trends in mid-market M&A, the impact of rising interest rates, and the significant changes since the 2021-2022 market correction.

Mario provides practical tips for sellers preparing for M&A and emphasizes the importance of strategic planning and cultural due diligence for buyers.

Finally, Mario shares his outlook on the future of mid-market M&A, the role of technology, and the opportunities available for young entrepreneurs.

About Mario Nigro:Mario Nigro is a partner at Stikeman Elliott LLP, where he works in the Mergers & Acquisitions and Private Equity & Venture Capital Groups. His practice includes mergers and acquisitions, private equity, venture capital, and corporate reorganizations. Mario has worked with clients in various industries, including technology, food, retail, and manufacturing. He also hosts the "Views from the Market: Midmarket M&A and Private Equity" podcast.

Before Stikeman Elliott, Mario was a partner at Blake, Cassels & Graydon LLP, focusing on corporate and commercial law, mergers and acquisitions, and energy transactions. He also has experience with Ontario Power Generation and served as a policy adviser in the Office of the Ontario Minister of Education.

Mario earned law degrees from McGill University, a Master’s and a Bachelor’s of Education from Western University, and a Bachelor of Arts from the University of Toronto.

* (01:13) Mario discusses his journey from kindergarten teacher to M&A expert.

* (03:00) Overview of the rise of search funds and differences between traditional and self-funded models.

* (04:56) Explanation of the economic structures in search funds.

* (07:00) Discussion on how search funds have evolved in Canada.

* (12:04) Why investors prefer funded search models and their benefits.

* (14:55) Key traits of successful search fund founders.

* (19:22) Current trends in mid-market M&A and the role of search funds.

* (24:25) Increasing role of technology in M&A and its impact on traditional industries.

* (28:40) Impact of rising interest rates on mid-market M&A deals.

* (31:20) Common pitfalls for sellers and the importance of preparation.

* (35:45) Advice for new CEOs post-acquisition on building strong relationships.

* (43:00) Mario’s outlook on the future of mid-market M&A in Canada.

* (49:00) Tips for managing complex and high-pressure deal negotiations.

Mario’s Fast Favorites:

🎙 Favorite Podcast: "Views from the Market"

📰 Favorite Newsletter or Blog: "New York Times"

📲 Favorite Tech Gadget: AirPods Pro