AI Magazine Issue 10 2018

Acquisition International - Issue 10 2018 77 Number and Aggregate Value (mil USD) of M&A Deals Globally: 2006-2018 YTD (as at 28 September 2018) Deal quarterly value (Announced date) Number of deals Aggregate deal value (mil $) Q3 2018 20,170 125,689 Q2 2018 24,312 164,107 Q1 2018 23,898 154,263 Q4 2017 24,900 111,598 Q3 2017 23,487 105,030 Q2 2017 24,576 96,641 Q1 2017 24,156 191,238 Q4 2016 24,624 186,149 Q3 2016 20,774 124,308 Q2 2016 21,078 94,926 Q1 2016 22,812 94,878 Q4 2015 21,407 117,477 Q3 2015 23,247 147,312 Q2 2015 23,720 137,898 Q1 2015 21,063 90,245 Q4 2014 22,236 147,194 Q3 2014 21,721 199,986 Q2 2014 20,885 119,992 Q1 2014 20,856 84,689 Q4 2013 21,770 112,491 Q3 2013 19,415 74,573 World region (target) Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 North America 7,333 7,465 6,539 6,961 6,283 Western Europe 6,209 7,230 7,432 7,479 6,185 Far East and Central Asia 5,677 5,524 5,804 5,765 4,863 South and Central America 2,152 2,301 2,261 2,054 1,108 Oceania 1,025 1,140 829 940 910 Eastern Europe 527 626 542 582 503 Africa 310 354 269 286 188 Middle East 202 228 200 195 116 Number of M&A Deals by Region: 2015 - 2018 YTD (as at 28 September 2018) Bureau van Dijk The third quarter of 2018 has been fairly quiet in terms of the volume and value of telecommunications deals announced worldwide. In all, there have been 296 deals worth a combined USD 19,643 million signed off over the course of the three months, according to Zephyr, the M&A database published by Bureau van Dijk. The result represents a decline in volume and value when compared to both Q2 2018 and Q3 2017. In Q2, there were 356 deals worth a combined USD 52,358 million announced, while USD 42,884 million was injected across 390 transactions in Q3 2017. September has been a particularly quiet month, with just 60 deals worth USD 2,356 million signed off, compared to August 2018’s 123 worth USD 4,425 million. However, it is worth noting that, at the time of writing, there are still five days to go until the end of the month, meaning the result could change by the end of the quarter. A number of high value transactions have held value up in Q3, with six deals breaking the USD 1,000 million-barrier and two of these surpassing USD 2,500 million. The most valuable of all was worth USD 2,592 million and saw Telia Company picking up Norwegian broadband internet player Get. This was followed by VEON’s USD 2,550 million purchase of Global Telecom Holding’s assets in Pakistan and Bangladesh. These two deals alone accounted for a combined 26 per cent of the USD 19,643 million-worth of dealmaking recorded in Q3 2018. In conclusion, Q3 has been fairly quiet in terms of dealmaking within the telecommunications industry and it will be interesting to note how activity develops as we move towards the end of the year. Telecommunications Number of M&A Deals Globally by Target Sector: 2015 - 2018 to date (as at 28 September 2018) Number and Aggregate Value (Mil USD) of M&A Deals Globally by Deal Type: 2006-2018 to date (as at 28 September 2018) Deal monthly value (Announced date) Number of deals Aggregate deal value (mil $) Acquisition 318,319 24,932,310 Minority stake 473,458 11,130,229 Capital increase 129,576 7,175,211 Institutional buy-out 20,456 3,753,614 Management buy-out 5,512 111,092 Demerger 1,146 56,549 Merger 2,589 41,887 Major sector (target) Q3 2018 Other services 7,549 Machinery, equipment, furniture, recycling 2,356 Wholesale & retail trade 1,249 Chemicals, rubber, plastics, non-metallic products 1,047 Publishing, printing 916 Metals & metal products 908 Construction 749 Primary Sector (agri- culture, mining, etc.) 510 Food, beverages, tobacco 413 Gas, Water, Electricity 380 Transport 376 Banks 350 Education, Health 335 Insurance companies 260 Hotels & restaurants 247 Post and telecommu- nications 215 Textiles, wearing apparel, leather 196 Wood, cork, paper 135 Public administration and defence 15