Global M&A Deals At Highest Level In Seven Years

Global M&A deals valued at $1,571.2 billion in H1 2014, marking the highest valued half year since 2007, notes Mergermarket report.

Presenting its H1 2014 trend report, Mergermarket notes total deal value in Q2 2014 was worth $945.2 billion, making it the third highest quarter by value on record, after Q2 2007 and Q4 2006.

Highest since 2007

The Mergermarket report has compiled the following snapshot of H12014:

Global M&A Deals snapshot

As can be deduced from the following graph, global M&A deals valued at $1,571.2 billion in H1 2014, making it the highest valued half year since 2007. Compared to H1 2013, deal value increased 56.3% in H1 2014 and was up 29.8% compared to H2 2013.

Regional M&A Trend

Moreover, the global average deal size was $408.8 million in H1 2014, the highest half-year value since 2001, up 38% from $296.3 million in H1 2013.

Higher cross-border M&A deals

The Mergermarket report highlights that cross-border M&A between regions was 81.9% higher than H1 2013 with deals valued at $371.5 billion, marking the highest half year since H2 2007.

Cross-border M&A Deals

As can be deduced from the above graph, country cross-border M&A in H1 2014 accounted for the highest half-year share in global M&A on Mergermarket record at 46.1%.

Taking a closer look at the industry, the report notes the Pharma, Medical & Biotech industry was the most active with deals valued at $258.6 billion, garnering a 16.5% market share in global M&A.

The following table depicts some of the top deals reported in the recent past:

Top M&A Deals

The Mergermarket report points out that US’s Medtronic, Inc. (NYSE:MDT) acquisition of Ireland-based Covidien plc (NYSE:COV) for $45.9 billion is the fifth largest cross-border deal since 2001.

The report also depicts the following league table of global financial advisors to M&A by volume:

Global financial advisor league table M&A Deals

Private equity buyouts and exits

Focusing on private equity, the Mergermarket report highlights that in H1 2014, there were 109 more private equity buyouts as compared to H1 2013, boosting values to a post crisis high – $189.2 billion was up 9% compared to H1 2013. Interestingly this was also the highest half-year value since H2 2007, as can be deduced from the following graph:

PE buyouts M&A Deals


As set forth in the following graph, the value of global exits climbed to $260.2 billion in the first half of 2014, an all-time high, exceeding the previous record of $240.5 billion set in H1 2007:

Secondary buyouts M&A Deals

About the Author

Mani is a Senior Financial Consultant. He has worked in Senior Management role in large banking, financial and information technology organizations. He has provided solutions for major banking and securities firms across the globe in the area of retail, corporate and investment banking. He holds MBA (Finance) and Professional Management Accounting Qualifications. His hobbies are tracking global financial developments and watching sports