Issue 4 2020

Acquisition International - Issue 4 2020 27 Number and Aggregate Value (mil USD) of M&A Deals Globally: 2006-2020 YTD (as at 26th March 2020) Deal quarterly value (Announced date) Number of deals Aggregate deal value (m USD) Q1 2020 19,552 820,410 Q4 2019 30,435 1,246,462 Q3 2019 29,114 1,077,022 Q2 2019 32,279 1,516,113 Q1 2019 32,097 1,341,084 Q4 2018 38,085 1,427,238 Q3 2018 26,835 1,228,234 Q2 2018 29,009 1,516,472 Q1 2018 28,441 1,526,080 Q4 2017 29,862 1,321,255 Q3 2017 27,527 1,126,529 Q2 2017 27,833 1,187,170 Q1 2017 26,943 1,173,818 Q4 2016 28,058 1,413,406 Q3 2016 26,750 1,286,017 Q2 2016 27,097 1,114,720 Q1 2016 34,674 1,120,255 Q4 2015 36,394 1,710,230 Q3 2015 28,569 1,454,562 Q2 2015 29,243 1,547,984 Q1 2015 25,625 1,326,793 Q4 2014 27,246 1,258,860 Q3 2014 26,346 1,244,030 Q2 2014 25,296 1,383,705 Q1 2014 25,056 935,677 World region (target) Q3 2018 Q4 2018 Q1 2019 Q2 2019 Q3 2019 Q4 2019 Q1 2020 Western Europe 352,113 336,513 239,485 335,891 285,453 249,196 287,254 North America 389,141 530,742 579,367 729,000 337,439 424,125 227,985 Far East and Central Asia 303,167 379,324 289,048 287,573 288,887 398,490 217,476 Middle East 10,628 17,576 99,244 11,394 11,053 11,632 28,112 South and Central America 56,231 89,100 64,156 79,705 61,590 85,885 27,878 Oceania 49,951 42,783 22,017 26,247 51,103 40,258 14,051 Eastern Europe 53,714 40,161 39,494 21,898 13,482 25,302 11,120 Africa 7,176 20,111 9,704 15,033 8,656 10,001 5,423 Aggregate Value of M&A Deals by Region: 2006 - 2020 YTD (as at 26th March 2020) Bureau van Dijk Both the volume and value of mergers and acquisitions (M&A) targeting companies operating in the industrials sector declined in Q1 2020 to 4,529 deals worth an aggregate USD 204,375 million, according to Zephyr, the M&A database published by Bureau van Dijk. While Q1 is usually a quiet period for the industrials sector, the decline is even more significant due to the outbreak of the coronavirus which has impacted the global economy, with many countries on lockdown in a bid to try and stop the spread of the infectious disease. In terms of volume, Q1 2020 declined significantly from 7,396 deals in Q4 2019 and 7,433 deals in Q1 2019. By value, the three months under review declined 31 per cent from USD 297,742 million quarter-on- quarter and 39 per cent from USD 337,684 million year-on-year. Despite the decrease, there have been three deals each worth more than USD 10,000 million targeting the industrials sector announced in Q1 2020. In the largest of these, Advent International, Cinven and RAG-Stiftung agreed to acquire German lift manufacturer thyssenkrupp Elevator for USD 18,719 million. This was followed by Atlas Copco Germany Holding buying German robotic vision for process control systems manufacturer Isra Vision for USD 11,973 million, while Quebec agreed to purchase Dutch biological sample and biomolecule assay products manufacturer Qiagen for USD 11,526 million. Having been targeted in each of the top three deals by value in Q1 2020, companies based in Western Europe led the way by value with USD 86,603 million, almost double the USD 47,034 million recorded in Q4 2019. The Far East and Central Asia was second with USD 70,705 million, and led the way by volume with 1,872 deals, Western Europe was second with 1,194 deals. North America placed third on both fronts with 997 deals worth USD 37,716 million. In conclusion, Q1 has represented a slow start to the year in terms of M&A targeting the industrials sector and with the uncertainty caused by the COVID-19 and the associated question of when the issue will be resolved, it is not yet clear how dealmaking is likely to be affected through the remainder of 2020. © Zephyr Industrials Number of M&A Deals Globally by Target Sector: 2016 - 2020 to date (as at 26th March 2020) Number and Aggregate Value (mil USD) of M&A Deals Globally: 2006-2020 YTD (as at 26th March 2020) Deal yearly value (Announced date) Number of deals Aggregate deal value (m USD) 2020 19,552 820,410 2019 123,925 5,180,681 2018 122,370 5,698,025 2017 112,165 4,808,771 2016 116,579 4,934,398 2015 119,831 6,039,569 2014 103,944 4,822,272 BvD sectors (target) Q4 2019 Q1 2020 Computer Software 5,135 3,609 Business Services 3,245 2,402 Banking, Insurance & Financial Services 3,023 1,782 Industrial, Electric & Electronic Machinery 2,750 1,462 Construction 1,673 1,214 Property Services 1,190 999 Chemicals, Petroleum, Rubber & Plastic 1,766 993 Mining & Extraction 1,341 826 Biotechnology and Life Sciences 1,047 714 Wholesale 880 625 Travel, Personal & Leisure 898 592 Public Administration, Education, Health Social Services 779 556 Transport, Freight & Storage 741 494 Retail 917 473 Food & Tobacco Manufacturing 645 377 Metals & Metal Products 610 361 Utilities 722 348 Transport Manufacturing 507 302 Communications 506 269 Media & Broadcasting 444 215