(Donalee Moulton – Financial Post)
Canada and Europe have inked what the federal government is calling “Canada’s most ambitious trade initiative.” The new agreement, officially unveiled during the EU-Canada Summit in Ottawa on Sept. 25, goes well beyond the once-controversial North American Free Trade Agreement in rolling out the welcome mat for investors here and aboard. It is unclear, however, how many companies will actually walk the red carpet.
While the opportunities for mergers and acquisitions are inherent in the Canada and European Union Comprehensive Economic and Trade Agreement (CETA), the enthusiasm for deals may be muted. In part, the lack of an anticipated rush to set up shop or to buy a shop in Canada reflects an historic connection between the co-signees. “There has been no hesitancy to invest in Canada. We’re a safe jurisdiction. I don’t believe the CETA will be a game changer for M&A,” says Shea Small, a partner with McCarthy Tétrault LLP in Toronto. Read more here.