One effect of the financial crisis has been to bring into sharp contrast the gulf that exists between the strongest and weakest companies. Those companies that successfully recapitalised over the past 18 months and those in a position to secure bank lending have an advantage over those that have been unable to repair balance sheets and are vulnerable to hostile takeover.

Tom Willett, global head of M&A at RBS, said: "Over the past few months, a number of companies that were in financial difficulty have successfully raised funds and brought themselves back into a position where they can once again consider proactive M&A activity. Others have raised funds opportunistically with an eye on future growth."