Global M&A Surge: US Deals Stagnate Amid Foreign Activity

US M&A Activity is Quiet, But Abroad Volume is Spiking

Despite a slowdown in domestic merger and acquisition (M&A) activity, the global M&A market is experiencing a surge in deal volume, according to a recent report by Refinitiv.

While the US saw a decline in M&A deals in the first quarter of the year, international deal volume has been on the rise. The report notes that the global M&A market saw a 14% increase in deal value and a 10% increase in deal volume compared to the same period last year.

The report highlights several key trends driving the increase in international M&A activity, including the ongoing impact of the COVID-19 pandemic, the rise of private equity firms, and the increasing importance of digital transformation in various industries.

Some of the most active regions for M&A deals in the first quarter included Europe, where deal volume increased by 21%, and Asia-Pacific, where deal value rose by 15%. The report notes that these regions are experiencing a surge in deal activity due to a combination of factors, including the growth of the digital economy, the increasing importance of e-commerce, and the ongoing impact of the pandemic on various industries.

Despite the slowdown in US M&A activity, the report notes that there are still several key sectors driving deal activity, including technology, healthcare, and energy. The report also highlights several notable deals that took place in the first quarter, including the acquisition of Warner Music Group by Access Industries and the merger of AT&T's WarnerMedia and Discovery's streaming services.

Overall, the report suggests that the global M&A market is experiencing a significant surge in deal activity, driven by a combination of factors including the ongoing impact of the pandemic, the rise of private equity firms, and the increasing importance of digital transformation in various industries.