Mergermarket has released its “Global Energy, Mining & Utilities Trend Report” for the first half (H1) of 2014.
A few key findings include:
- Q2 2014’s global mergers and acquisitions (M&A) that targeted the energy, mining and utilities (EMU) sector recovered from a subdued Q1. Deal value increased 68.8 percent to $143.8 billion with 400 deals, up from 345 deals valued at $85.2 billion in Q1 2014 and marking the highest valued quarter in more than a year (Q4 2012 valued at $190.4 billion).
- The growth in Q2 contributed to H1 2014 deals valued at $229.1 billion, increasing very slightly on H1 2013 ($218.3 billion), up 4.9 percent. Despite the growth, the market share the EMU sector had in total global M&A during H1 2014 remained at a low 14.5 percent compared with 21.7 percent during the same time as the previous year; this was the lowest half-year proportion since H1 2006 (12.8 percent).
- Q2’s comeback was primarily because of the dominant Energy subsector, which reached the highest quarterly value in Q2 2014 ($107.9 billion) since Q4 2012, more than 40 percent higher compared with both Q2 2013 (43.9 percent) and Q1 2014 (49.6 percent). Energy deal value in H1 2014 ($180 billion) was up 16.5 percent from H1 2013.