AI Issue 5 2017

Acquisition International - May 2017 87 Number and Aggregate Value (mil $) of Private Equity Deals Globally: 2006-2017 YTD (as at 25 April 2016) Deal half yearly value (Announced date) Number of deals Aggregate deal value (mil $) Q2 2017 328 42,014 Q1 2017 1,493 111,926 Q4 2016 1,458 108,899 Q3 2016 1,421 120,601 Q2 2016 1,538 128,487 Q1 2016 1,524 76,425 Q4 2015 1,656 210,159 Q3 2015 1,834 134,463 Q2 2015 2,009 131,324 Q1 2015 1,352 117,545 Q4 2014 1,347 112,799 Q3 2014 1,252 85,800 Q2 2014 1,229 90,349 Q1 2014 1,201 102,517 Q4 2013 1,235 85,087 Q3 2013 1,079 101,145 Q2 2013 1,045 81,119 Q1 2013 979 82,562 Q4 2012 1,140 77,373 Q3 2012 1,000 72,635 Q2 2012 1,144 63,410 World region (target) Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Far East and Central Asia 391 418 488 466 105 North America 529 448 391 430 100 Western Europe 482 414 451 462 90 Oceania 15 27 25 22 9 Middle East 20 31 26 21 9 Eastern Europe 47 29 36 44 6 South and Central America 20 26 17 23 4 Africa 30 29 22 22 3 Number of Private Equity Deals by Region: 2006 - 2017 YTD (as at 25 April 2016) M&A Deals Q1 Round-Up 2017 has started impressively in terms of the volume and value of M&A deals featuring targets in the financial services sector. According to Zephyr, the M&A database published by Bureau van Dijk, there were 3,320 deals worth a combined $202,741 million announced during the first quarter of the year, representing the highest value for a first quarter since 2009. Q2 is only just underway but there have already been quite a few transactions announced in the sector. So far, $27,409 million has been invested across 750 deals, meaning there will need to be plenty more activity if results are to come close to the levels recorded in Q1, which was particularly notable in terms of the value invested. As already mentioned, the $202,741 million-worth of deals signed off between January and March has not been surpassed during a Q1 period since the opening three months of 2009. Volume was also rather impressive (3,320 deals) and although Q1 2016 was higher (3,611), the result is otherwise the largest for a first quarter on record within the industry. Western Europe has so far attracted the most value of all world regions within the industry, having been targeted in deals worth $91,626 million. It was followed by the Far East and Central Asia with $65,721 million and North America with $42,286 million. Despite Western Europe’s position at the head of the value rankings, it was topped by North America (1,229 deals) by volume and placed second with 1,078 transactions. Its strong value position is largely due to a number of significant individual considerations - the three largest financial services deals of 2017 to date all featured Western European targets. To sum up, 2017 is well and truly underway for the financial services industry and significant levels of deal making have been recorded, with Q1 having generated particularly impressive investment levels. Now it is a question of whether this flying start can be maintained in the coming months. Financial Services M&A inMay Number and Aggregate Value (Mil USD) of Private Equity Deals Globally by Target Sector: 2006 - 2017 YTD (as at 25 April 2016) Number and Aggregate Value (Mil USD) of Private Equity Deals Globally by Deal Type: 2006-2017 YTD (as at 25 April 2016) Deal type Number of deals Aggregate deal value (mil $) Institutional buy-out 17,117 3,135,824 Minority stake 33,341 884,603 Acquisition 2,527 592,290 Capital increase 885 65,195 Management buy-out 1,523 61,310 Management buy-in 200 3,541 Zephus classification (target) Number of deals Aggregate deal value (mil $) Personal, Leisure & Business Services 12,100 932,370 Computer, IT and Internet services 16,291 916,765 Banking, Insurance & Financial Services 3,860 623,453 Industrial, Electric & Electronic Machinery 8,288 548,218 Retailing 3,561 469,984 Utilities 1,770 359,232 Wholesaling 3,821 353,284 Transport, Freight, Storage & Travel Services 2,072 326,048 Communications 1,437 312,760 Public Administra- tion, Education, Health Social Services 2,713 284,534 Property Services 871 255,052 Chemicals, Petro- leum, Rubber & Plastic 2,750 246,588 Hotels and Restau- rants 1,349 240,779 Mining & Extraction 1,276 203,393 Food & Tobacco Manufacturing 1,802 183,574