Changes to US tax laws will have significant and mainly positive implications for deal-making across virtually all sectors, including metals and mining, according to a report by global consultancy firm PwC.
The tax reforms passed in December 2017 will see a decrease in the United States' corporate tax rate to 21%, and this "may be the most obvious benefit due to its favorable cash flow impacts and reduced tax cost to sellers," PwC said. "While interest expense deduction limits will impact deal structures and make debt-financed deals more expensive, other provisions such as immediate expensing of certain capital assets and the change in US repatriation rules will...