Level of withdrawn M&A highest globally since 2008
Data from Dealogic suggests that the level of so-called withdrawn M&A – where deals do not proceed – has hit its highest level since 2008, equivalent toe $300.5bn year-to-date.
The sum withdrawn so far is almost double that withdrawn in 2013, and the highest seen since £332.4bn was affected in 2008.
Examples of withdrawn M&A include pharmaceutical firm Pfizer, which pulled back from a $122.6bn hostile bid for Astrazeneca – itself the second biggest withdrawn deal behind BHP Billiton’s $147.8bn bid for Rio Tinto in November 2008.
“Excluding the Pfizer/Astrazeneca bid, global withdrawn M&A volume stands at $177.9bn, the highest YTD level since 2011 ($203.9bn),” Dealogic said.
“$10bn+ deals (excluding the bid) totals $114.2bn via four deals in 2014 YTD, up from $38.4bn in 2013 YTD and the highest YTD level since 2008 ($158.8bn)”
In terms of announced M&A, the volume has also shot up. So far it has reached $414.8bn, up 29% on the $320.7bn seen over the same period last year across the EMEA region. It is the highest total announced since 2001 ($437.4bn).