Global forecasts show that 2016 could reach a new peak in global deal announcements, even surpassing the previous record year 2007.
The Intralinks Deal Flow Predictor forecasts that the global number of announced deals in the full year 2016 will be around 3 percent higher than in 2015. This would make 2016 the new peak for the number of global deal announcements, surpassing the previous peak year of 2007.
The Intralinks Deal Flow Predictor is also forecasting a 5 percent increase in the total number of mergers and acquisitions (M&A) to be announced globally in Q1 2017 compared to Q1 2016.
Growth in Asia-Pacific
According to Intralinks, the leading global provider of software and services for managing M&A transactions, key countries across Asia-Pacific (APAC) show the following growth in early-stage M&A activity, compared to the same period last year:
- South East Asia (which includes Singapore, Malaysia and Indonesia), increased by 14 percent, with Singapore being a relatively subdued contributor to this growth, increasing by just 4 percent;
- North Asia (which includes China, Hong Kong and South Korea) is down 6 percent, due to declining levels of early-stage M&A activity in Hong Kong;
- India is up 190 percent;
- Australia decreased by 3 percent; and
- Japan decreased by 7 percent; the first decline in over a year.
The sectors in APAC that Intralinks predicts will contribute the most to the growth in the number of announced APAC M&A deals in Q1 2017 are Technology, Media/Entertainment and Telecommunications (TMT), Industrials and Healthcare.
The TMT sector is looking particularly healthy, with early-stage M&A activity increasing by 115 percent year-over-year.
South East Asia Has Rebounded
«In South East Asia, early-stage M&A activity has rebounded, increasing by 14 percent. Singapore was a relatively subdued contributor to this growth, with an increase of just 4 percent,» said Philip Whitchelo, Vice President Strategy and Product Marketing at Intralinks.
«With the TMT sector in APAC looking healthy, we foresee this being one of the top three sectors in the region for year-over-year growth in Q1 2017, with the others being Industrials and Healthcare,» he added.
Download the Report
The Intralinks Deal Flow Predictor forecasts the volume of future M&A deal announcements by tracking early-stage M&A activity – M&A transactions across the world that are in the preparation stage or have reached the due diligence stage.
These early-stage deals are, on average, six months away from their public announcement. Download the complete Intralinks Deal Flow on this link.