Corporate M&A activity falls in 2012

Global corporate merger and acquisition (M&A) activity fell in 2012 from the previous year and was the lowest for deal values since 2010, a survey by Mergermarket shows.

The value of deals, at  $US2174.5 billion, was down 2.7% on 2011 but rose 13.3% in the second half. The fourth quarter’s $US672.9 billion-worth of deals was the highest quarter since the corresponding period in 2010 and was up 45.6% on the same period in 2011.

The largest M&A transaction was the $US45.6 billion all-equity takeover of Xstrata by Switzerland-based Glencore International, followed by Japan-based Softbank’s all-cash offer for the US-based Sprint Nextel valued at $US35.5 billion.

Mega-deals in Asia-Pacific (excluding Japan) were up for a second year to 13% of overall M&A value in the region, the highest level since 2008.

Global bidders looking for Asia-Pacific targets favoured Chinese targets, with 627 deals valued at $US126.7 billion, followed by those in Japan (368 deals worth $US72.5 billion) and Australia (397 deals worth $US46.1 billion). A drop-off in energy and mining deals took its toll on Australian totals.

The bidding war for Singapore conglomerateFraser & Neave was the centre of attention in the region in 2012, with companies from Thailand, Indonesia, Singapore and Japan fighting over control.

As a result, Dutch brewer Heineken ended up with F&N’s shareholding in Asia Pacific Breweries, parent company of New Zealand’s DB Breweries.

Private equity buyouts in Asia-Pacific (excl Japan) slid 30.7% on 2011 to $US27.2 billion, the worst year for buyouts in the region since 2009.

Goldman Sachs maintained its place at the top of adviser league tables both globally and in Asia-Pacific,
with Citi and Credit Suisse second and third respectively in Asia Pacific.

This article is tagged with the following keywords. Find out more about My Tags

Comment & Question

Commenter icon key: Subscriber Verified

Post New comment or question

Plain text

  • No HTML tags allowed.
  • Web page addresses and e-mail addresses turn into links automatically.
  • Lines and paragraphs break automatically.

NZ Market Snapshot

Forex

Sym Price Change
USD 0.7854 -0.0022 -0.28%
AUD 0.9219 -0.0010 -0.11%
EUR 0.6303 0.0005 0.08%
GBP 0.4995 0.0007 0.14%
HKD 6.0898 -0.0158 -0.26%
JPY 92.6170 -0.0300 -0.03%

Commods

Commodity Price Change Time
Gold Index 1196.6 -2.970 2014-11-26T00:
Oil Brent 79.4 -0.640 2014-11-26T00:
Oil Nymex 73.7 -0.340 2014-11-26T00:
Silver Index 16.6 0.000 2014-11-26T00:

Indices

Symbol Open High Last %
NZX 50 5455.4 5474.7 5455.4 0.31%
NASDAQ 4760.2 4788.0 4758.3 0.61%
DAX 9934.8 9992.7 9915.6 0.60%
DJI 17812.2 17833.8 17814.9 0.07%
FTSE 6729.2 6749.9 6729.2 -0.09%
HKSE 24169.8 24228.1 24112.0 -0.45%
NI225 17310.5 17346.8 17383.6 -0.78%