Record Start To H2 Mega Deals; Tech Sector Dominates

The combined value of mega deals announced so far during the second half of 2020 is US$256.0 billion, a total only exceeded once in this period, in 2015.

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Q2 2020 hedge fund letters, conferences and more

August 2020 Highlights:

Chris Hohn favorite hedge fundsChris Hohn donates millions of dollars every year through his Children’s Investment Fund Foundation. We can get some clues about his favorite hedge funds by looking at the foundation’s 990-PF filing. The 990 for 2019 isn’t out yet, but the filing for the period ending in December 2018 is. Q2 2020 hedge fund letters, conferences Read More

  • Global M&A: Monthly M&A Declines 22%
  • Mega Deal Tally: Record Start to Second Half
  • Sectors: Tech and Healthcare Dominate in August 2020
  • Asia Pacific Accounts for Highest Share of YTD M&A Activity

August 2020: Record Start to Second Half for Mega Deals; Tech Sector Dominates

H2 Mega Deals

Global M&A: Monthly M&A Declines 22%

Deals totalling US$254.3 billion were announced globally during the month of August 2020, down 22% from last month and down 8% from August 2019.

US$1.8 trillion worth of deals were announced globally during the first eight months of 2020, 31% less than the same period last year and the lowest year-to-date level since 2013.

H2 Mega Deals

Sectors: Tech and Healthcare Dominate in August 2020

Deals in the technology sector total US$69.3billion during August 2020, a month value only exceeded once in the last year. Technology deals account for 27% of global M&A activity during the month of August 2020. Sixof the largest ten deals announced globally during August involved tech sector targets.

Healthcare deals total US$38.5billion, the highest monthly total since December 2019.

H2 Mega Deals

Mega Deal Tally: Record Start to Second Half

Nine deals worth US$5 billion or more were announced during August 2020, an August tally only exceeded in 1999. Twenty-one deals have been announced since the start of July, marking the best start to the second half for mega deals of all-time.

The combined value of mega deals announced so far during the second half of 2020 is US$256.0 billion, a total only exceeded once in this period, in 2015.

Asia Share of M&A at All-Time High; US M&A Hits Highest Monthly Total in 14 Months

M&A

US: Highest Monthly Total Since June 2019

Deals involving a US target total US$145.5 billion during August 2020, up 19% from July 2020 and the highest monthly total since June 2019.

Year-to-date activity is at the lowest level in seven years. US$649.1 billion worth of deals were announced during the first eight months of 2020, down 52% compared to last year and the lowest year-to-date level since 2013.

M&A

European deals account for just 10% of global M&A in August

M&A involving a European target totalled US$25.5 billion during the month of August 2020, 34% less than the value recorded during July 2020. European M&A accounted for just 10% of total global M&A activity during August.

M&A activity in the region is up 2% from this time last year. Propped up by a number of high value deals earlier in the year, European M&A totals US$478.9 billion during the first eight months of 2020.

M&A

Asia Pac. Accounts for Highest Share of YTD M&A Activity

Deals with a combined value of US$64.0billion involved targets in Asia Pacific (ex. Japan) during August 2020, down 55% from last month and on par with August 2019 levels.

US$514.1 billion worth of deals were announced in Asia Pacific during the first eight months of 2020, up 9% compared to last year. Deals in the region account for 28% of global M&A by value, up from 18% at this time last year and all all-time high.

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