The full-year 2011 edition of EMEA Deal Drivers, published by mergermarket in association with Merrill DataSite, provides an extensive review of M&A activity in the EMEA region, offering a detailed analysis of specific sectors and regions and identifying emerging trends in deal flow for the upcoming year.
Across the EMEA region, 2011 was split between an encouragingly busy first half followed by a slump in M&A activity triggered by the eurozone debt crisis and political upheavals. Year-on-year M&A activity is still up, however, with 10% more deals announced this year than last and aggregate deal value up 1%.
Some key findings in the report include:
– TMT has provided a reliable stream of high-profile, high value transactions over the past year, such as the €7.2bn purchase of UK-based software company Autonomy by HP and the €2.4bn purchase of US cloud computing business SuccessFactors by German SaaS specialist SAP.
– Across the EMEA region, the Consumer space has stood out as one of the most resilient sectors for M&A, and after the recent dip in activity, expectations point towards the second half of 2012 witnessing a resurgence in deal making.
– Healthcare and nutrition is currently a hot subsector, driven by the increasing sophistication of consumers in growth territories and the attractive margins that follow.
– The outlook for EMEA in 2012 varies significantly between countries. Germany has already demonstrated that it is poised to build a strong economic future come-what-may, and so it is not unreasonable to expect more deals to take place there this year than last.
– mergermarket’s Heat Chart, which is based on proprietary news intelligence tracking prospective company sales, indicates the second half of 2011 saw an 18% reduction in the number of ‘company for sale’ stories as tracked by mergermarket compared with the first half. This represents a considerable correction after the optimism seen early in the year, and is reflective of a difficult six months that has damaged the overall deal making outlook.
To view the full report, please click here:
http://www.mergermarket.com/pdf/EMEA_Deal_Drivers_FY2011.pdf
