MA activity continues to fall through Q2 2013

European mergers and acquisitions dropped year on year in Q2 2012, both in terms of deal value and deal volume according to data provided by Mergermarket.

MA activity continues to fall through Q2 2013

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A total 78 deals were completed in the three months until end of June, with an aggregate value of $73.3bn, a 12.3% and 12.4% decline on the previous year respectively. In the same period last year 89 deals worth $83.6bn were recorded.

The decline is evidence of continued low confidence in the region, and the much-cited renewal of excitement in the market is yet to have an impact on mergers and acquisitions.

While deal flow in the region did fall, Europe’s share of the M&A market did increase marginally, from 29% in Q2 2012 to 32% this year.
M&A activity in the US showed a greater drop than in Europe, with volume and value falling 20.4% and 22.7% respectively.

Asia Pacific ex Japan was the only region to register an increase in activity, as 61 deals worth an aggregate $58bn were finalised, representing an increase of more than 40% in terms of both value and volume.

Global deal volume fell 14% year on year, but deal value increased 5.1% in comparison to Q1 2013.

Private equity picture

The aggregate value of European private equity deals was $27bn in Q2 2013, a substantial increase on the $8bn seen in Q1.

Asia-based deals dropped to their lowest level since Q3 2009, recording an aggregate value of just $2bn.

 

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