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M&A activity hits US$70bn for first half

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By Reporter
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2 minute read

Overall merger and acquisition activity in Australia has so far reached US$69.5 billion this year, with deal value doubling from the first half of 2013.

The Thomson Reuters M&A Preliminary Review for the first half of 2014 showed the average M&A deal value grew from US$72.2 million to US$161.2 million. 

According to Thomson Reuters, Macquarie Group generated the highest share of M&A financial advisory imputed fee rankings during the six months, generating US$41.8 million in fees. 

This represents an increase of 1.4 per cent in Macquarie’s market share from the previous half up to 20 per cent. 

This was followed by Goldman Sachs & Co which had the largest increase in market share. 

The company generated US$31.2 million in fees, increasing its market share 9.5 per cent to a share of 31.2 per cent. 

UBS had the second largest increase in market share percentage taking in US$27.1 million in fees.  

The firm's market share went up 6.9 per cent to a share of 16.9 per cent. 

Morgan Stanley lost the greatest percentage of market share, with its share decreasing 10.5 per cent. 

The firm generated US$13.8 million in fees, a decrease of 60.5 per cent from the previous half. 

Overseas acquisitions by Australian companies surged in the first half of 2014, rising 261.2 per cent from the first half of 2013. 

Thomson Reuters said Australia’s outbound acquisitions targeted the materials sector, with this sector generating US$6 billion in deals and accounting for 50.4 per cent of the market share. 

Inbound M&A rose 74.8 per cent with energy and power accounting for the largest share, at 35.3 per cent.