Issue 5 2019

Acquisition International - Issue 5 2019 53 Number and Aggregate Value (mil USD) of Private Equity Deals Globally: 2006-2019 YTD (as at 2nd May 2019) Deal quarterly value (Announced date) Number of deals Aggregate deal value (mil $) Q2 2019 471 54,497 Q1 2019 1,693 146,095 Q4 2018 1,667 144,598 Q3 2018 1,779 145,308 Q2 2018 1,918 182,599 Q1 2018 1,771 166,605 Q4 2017 1,802 164,183 Q3 2017 1,739 176,722 Q2 2017 1,676 181,361 Q1 2017 1,578 107,794 Q4 2016 1,557 127,634 Q3 2016 1,472 108,785 Q2 2016 1,566 131,361 Q1 2016 1,543 78,647 Q4 2015 1,724 191,061 Q3 2015 1,812 131,342 Q2 2015 1,889 128,419 Q1 2015 1,391 127,558 Q4 2014 1,447 112,378 Q3 2014 1,342 88,890 Q2 2014 1,294 93,798 Q1 2014 1,269 105,935 World region (target) Q2 2018 Q3 2018 Q4 2018 Q1 2019 Q2 2019 Western Europe 56,661 59,061 51,106 47,740 22,315 North America 76,890 34,894 42,077 58,955 18,236 South and Central America 1,623 10,143 6,466 2,793 10,036 Far East and Central Asia 37,954 35,995 35,485 27,423 5,668 Middle East 786 1,236 1,152 1,405 237 Oceania 3,272 8,973 7,509 6,172 105 Aggregate Value (mil USD) of Private Equity Deals by Region: 2006-2019 YTD (as at 2nd May 2019) Bureau van Dijk The aggregate value of mergers and acquisitions (M&A) featuring targets in the financial services sector inQ1 2019 exceeded the value recorded for the previous, successive three quarters in 2018. According to Zephyr, the M&A database published by Bureau van Dijk, 3,577 deals worth a combined USD 264,376 million were announced during the first three months of 2019, compared to 5,339 deals totalling USD 228,334 million in Q4 2018. Overall value targeting companies operating in the financial services sector in 2019 to date has been supported by three announced deals with North American targets each worth more than USD 20,000 million, not to mention the fact that all of the top 20 deals announced so far this year exceeded USD 2,000 million. Three of these top deals have been announced in the opening month of Q2 2019 and contributed to the 825 deals worth USD 42,121 million already recorded for the ongoing quarter at the time of writing. North American M&A dealmaking targeting the financial services sector has already set the pace in terms of value as the 1,490 deals worth USD 155,139 million announced in 2019 to date accounts for one-third of aggregate global volume and half of the total value for the period. North American value has been supported by the aforementioned three acquisitions worth more than USD 20,000 million and which target Worldpay, SunTrust Banks and First Data. The Far East and Central Asia placed second by value, with 910 deals worth an aggregate USD 75,199 million, though it was overtaken by Western Europe in terms of volume. M&A targeting the sector comprised 1,160 acquisitions worth USD 186,318 million, though minority stakes were the most favoured form of deals as 2,683 valued at USD 53,829 million were announced, of which more than a third featured private equity, venture capital and development capital investment. In conclusion, the volume of M&A deals targeting the financial services industry in Q1 2019 has remained level with 2018, indicating there is still appetite for dealmaking, particularly for deals with individual high values, considering Q1 is already one of the strongest quarters recorded since the beginning of 2006. Q1 has now set the stage for Q2 and there are still almost two months left to see whether the sector remains front and centre of M&A dealmakers’ attention. Financial Services Number and Aggregate Value (Mil USD) of Private Equity Deals Globally by Target Sector: 2019 YTD (as at 2nd May 2019) Number and Aggregate Value (Mil USD) of Private Equity Deals Globally by Deal Type: 2006-2019 YTD (as at 2nd May 2019) Deal type Number of deals Aggregate deal value (mil USD) Institutional buy-out 21,377 3,924,856 Minority stake 44,337 1,353,255 Acquisition 2,963 709,103 Management buy-out 1,673 64,964 Capital increase 806 55,809 Management buy-in 211 3,555 MBI / MBO 91 561 BvD sectors (target) Number of deals Aggregate deal value (mil $) Computer Software 871 58,730 Transport, Freight & Storage 48 19,475 Banking, Insurance & Financial Ser- vices 90 16,334 Chemicals, Petro- leum, Rubber & Plastic 94 15,385 Business Services 143 11,380 Construction 36 11,313 Public Administra- tion, Education, Health Social Services 89 8,467 Travel, Personal & Leisure 72 7,354 Industrial, Electric & Electronic Ma- chinery 200 5,675 Property Services 26 5,647 Utilities 39 5,485 Retail 63 5,321 Mining & Extraction 17 4,997 Biotechnology and Life Sciences 64 4,764 Wholesale 53 4,376 Hotels & restau- rants 359 290 Textiles, wearing apparel, leather 273 205