Get Ready for M&A Wave

Philips (PHG - commentary - Cramer's Take) buys Genlyte (GLYT - commentary - Cramer's Take). Vivendi buys Activision (ATVI - commentary - Cramer's Take).

This is it. This is the next wave of M&A action, because we are now putting a bottom in the dollar.

There are always going to be companies that are worth more too others than to themselves. We got so much private equity money in the last few years because there were so many "hated" companies in the market, companies that were clearly worth more to others in a private way than they were in a public way.

I am convinced that we are at last at the cusp of the foreign invasion and that this invasion will be the next leg that propels this particular brand of mergers and acquisitions in a world where M&A has always supported valuations.

I can see drug companies being bought, medical device companies being bought, chemicals, papers and steels being bought and, of course, our banks, now that we are starting to get our arms around things. (Right now, only Commerce Bancorp (CBH - commentary - Cramer's Take) has been hooked; many more are to come.) I believe PPG (PPG - commentary - Cramer's Take), Cleveland Cliffs (CLF - commentary - Cramer's Take), FMC (FMC - commentary - Cramer's Take), Rockwell (ROK - commentary - Cramer's Take), Olin (OLN - commentary - Cramer's Take), they are all possibles.

The Europeans care more about the dollar than anything else. They didn't want to catch a falling knife of a currency, even as they might have liked our companies. That's no longer the case.

I see deals galore.

And I think that's going to be a very important prop to the next leg up as everyone else frets about the Federal Reserve.

At the time of publication, Cramer had no positions in any of the stocks mentioned in this post.

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