Global M&A deal value reaches $1.18 trillion in 1st half of 2013

Global M&A deal value reached $1.18 trillion in the first half of this year, down 5 per cent compared with corresponding period last year when transactions worth $1.24 trillion were announced, a report says.

According to global deal tracking firm Dealogic, the deal value in the January to June period this year was the lowest first six months deal value recorded since 2009, when $1.09 trillion worth of transactions were announced.

In terms of number of deals, 15,971 deals were announced in the first half of 2013, registering a decline of 29 per cent over the corresponding period a year ago when 22,409 deals were announced.

Moreover volumes dropped for the second consecutive quarter to $512.5 billion in April-June period, Dealogic said.

Global cross border M&A totalled $307.1 billion in the first half of 2013, down 27 per cent year-on-year and accounted for just 26 per cent of total M&A volume, the lowest half year share since first half of 2009 (25 per cent).

In contrast to the global trend, US targeted M&A was up 26 per cent year-on-year to $505.7 billion in the January-June period of 2013.

Europe targeted M&A volume totalled $307.6 billion in the first half of 2013, down 14 per cent over the same period last year ($357.8 billion).

Asia Pacific (ex Japan) volume of $211.4 billion in first half of 2013 was down 7 per cent over the corresponding period of last year when deals worth $226.1

billion were announced.

Goldman Sachs led the Global and European deal value rankings in the first half of 2013. JP Morgan led the US ranking while Morgan Stanley led in Asia Pacific (ex Japan).