QUARTERLY REVIEW Q1 2021 - INTERNATIONAL INSTITUTE FOR THE STUDY OF CROSS-BORDER INVESTMENT AND M&A - XBMA
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QUARTERLY REVIEW Q1 2021 INTERNATIONAL INSTITUTE FOR THE STUDY OF CROSS-BORDER INVESTMENT AND M&A
GLOBAL M&A VOLUME
RECORD HIGHS
In Q1 2021, as Covid-19 vaccines became more widely
available and economies reopened, M&A volume reached
the largest first quarter deal volume on record since records
started being kept in 1980.
Global M&A volume was US$1.34 trillion in Q1 2021,
a 1.7% increase from Q4 2020 (US$1.32 trillion) and a
substantial 93% increase from Q1 2020 (US$694 billion). If
the current levels of M&A activity continue over the balance
of the year, global M&A volume in 2021 is projected to reach
US$5.4 trillion, an increase of approximately 45% from 2020
Global
(US$3.7 trillion). However, it is too early to predict with any M&A Volume: 2000-2021
confidence whether the surge in M&A activity will continue
over the balance of the year.
Several mega deals were announced in Q1 2021, GLOBAL M&A VOLUME
including AerCap’s US$31 billion acquisition of GE Capital
6.0
Aviation Services, Canadian Pacific Railway’s US$28 billion
5.5
merger with Kansas City Southern and Rogers’s US$26 5.0
billion acquisition of Shaw. 4.5
4.0
US$ TRILLIONS
3.5
3.0
2.5
2.0
1.5
1.0
0.5
0.0
0
011
2
3
4
5
6
7
8
9
1100
111
1122
1133
1144
1155
1166
1177
1188
1199
2200
2211
003
005
006
009
002
000
007
004
008
00
2200
2200
2200
2200
2200
2200
2200
2200
2200
2200
2200
2200
2200
2200
220
2200
2200
2200
2200
2200
2200
2200
ALL FIGURES ARE INFLATION-ADJUSTED TO 2021 DOLLARS. 2021 DATA IS ANNUALIZED IN GRAY BY TRIPLING FIRST
QUARTER DATA AND ADDING IT TO THE FIRST QUARTER VOLUME. DATA IN THIS REPORT DOES NOT INCLUDE SPIN-OFFS
ANNOUNCED IN 2021 THAT HAVE NOT BEEN COMPLETED.
SOURCE: THOMSON 2
GLOBAL M&A VOLUME:
Q1 SNAPSHOT
BREAKING RECORDS AND THE SPAC BOOM
The momentum of global dealmaking in the second half of 2020
continued through Q1 2021. Q1 2021 M&A volume was the largest first-
quarter volume on record and 67% higher than the average first-quarter
volume of global M&A over the last 10 years (US$800 billion).
U.S. M&A volume continued to grow in Q1 2021, reaching US$671 billion
in Q1 2021, an increase of 12% from Q4 2020 (US$601 billion) and 158%
from Q1 2020 (US$260 billion). Q1 2021 U.S. M&A volume was the highest
quarterly U.S. M&A volume since Q2 2007 (US$749 billion) and 102%
higher than the average first-quarter volume of U.S. M&A over the last 10
years (US$332 billion). Q1 2021 U.S. M&A volume represented over half of
M&A deal volume (50%).
While M&A volume surged in the U.S., M&A volume in Europe, the
Global M&A Volume: Q1 2020 Snapshot
Asia-Pacific (excluding Japan) and Japan saw mixed results, with declines
relative to Q4 2020 and increases relative to Q1 2020. European M&A
volume was US$284 billion in Q1 2021, a decrease of 19% from Q4 2020
(US$350 billion), and an increase of 25% from Q1 2020 (US$227 billion).
In the Asia-Pacific (excluding Japan), M&A volume was US$218 billion
GLOBAL M&A VOLUME BY QUARTER
in Q1 2021, a decrease of 19% from Q4 2020 (US$269 billion), and an 5,500
5,500
5,202
increase of 46% from Q1 2020 (US$149 billion). Japanese M&A volume was
5,000
5,000
US$20 billion in Q1 2021, an increase of 7% from Q4 2020 (US$18 billion), 4,666
1,102
4,500
4,500
and a decrease of 23% from Q1 2020 (US$26 billion). 4,140
M&A involving special purpose acquisition companies (“SPACs”) 4,000 3,914
4,000 1,436 3,815
3,647 3,704
3,570
continued to be robust in Q1 2021, accounting for US$295 billion of global 3,500 1,117
3,492 871
3,500 988
US$ BILLIONS
M&A volume in Q1 2021, an increase of 125% from Q4 2020 (US$131 billion) 611 964 1,258
3,000 2,900 2,920 2,902 1,055 1,316
3,000
and 530% from Q1 2020 (US$47 billion), and contributing 22% of the 2,634 907
1,091
2,500 2,415 631
quarter’s total global M&A volume. Significant SPAC transactions in 2,500 967 833 950
818
733 931
Q1 2021 include social investment network eToro’s US$10 billion merger 2,000
2,000
1,759 740
649
865 870
1,165 1,129
with FinTech Acquisition Corp. V, Israeli advertising technology firm 797 647
1,500
1,500 757 1,224 1,108 1,339
549
ironSource’s US$10 billion merger with Thoma Bravo Advantage, 1,096
788 1,085 939 841
1,000
1,000
coworking space provider WeWork’s US$10 billion merger with BowX 541
653 744
589
564
1,223 1,339
Acquisition Corp, and financial services platform SoFi’s US$7 billion merger 500
500 817 851 915 804
1,197
999
616 754 694
585 562 555 667
with Social Capital Hedosophia Holdings Corp V. 0
0
2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
ALL FIGURES ARE INFLATION-ADJUSTED TO 2021 DOLLARS. DATA IN THIS REPORT DOES NOT INCLUDE SPIN-OFFS
ANNOUNCED IN 2021 THAT HAVE NOT BEEN COMPLETED. FIGURES MAY NOT SUM DUE TO ROUNDING.
SOURCE: THOMSON 3
CROSS-BORDER
M&A VOLUME
ACTIVITY REMAINS STEADY
Cross-border M&A volume was US$466 billion in
Q1 2021, the highest first-quarter volume of cross-border
M&A since Q1 2007 (US$536 billion). While cross-border
M&A volume decreased by 2% from the high level of
cross-border M&A activity in Q4 2020 (US$477 billion),
it increased 136% from Q1 2020 (US$198 billion).
In Q1 2021, cross-border deals represented 34.8% of
global M&A volume, just below the average proportion of
Cross-Border
global M&A volume attributable to cross-border M&A over M&A Volume: 2007-2021
the last 10 years (35.1%).
Cross-border transactions represented half of the
10 largest deals of 2021. The US$31 billion cross-border
acquisition of GE Capital Aviation Services (U.S.) by CROSS-BORDER M&A VOLUME
AerCap (Ireland) was the largest M&A transaction of
6.0
Q1 2021.
5.20
5.0 4.67
4.14
3.82 3.91
4.0 3.70
3.65 3.57
US$ TRILLIONS
2.89 3.49
2.90 2.92 2.90 3.01
3.0
2.63 2.54
2.41 2.35
2.27 2.75 2.41
2.15 2.32
2.0 1.80 1.90 1.87
1.82
1.75 1.34
2.31
1.0 0.87
1.65 1.47 1.60
1.34 1.37 1.25 1.29
1.101.02 1.03 1.17
0.66 0.81
42% 38% 27%27% 38%38%35% 35% 35% 31% 38% 38%
36% 35%39%39% 35% 0.47
44% 39% 35% 31% 38% 35% 30% 39%
35% 30% 35%
0.0
2007 2008
2007 2008 2009
2009 2010
2010 2011
2011 2012
2012 2013 2014 2015 2016
2016 2017
2017 2018
2018 2019
2019 2020
2020 2021
2021
CROSS-BORDER M&A TRANSACTIONS ARE DEFINED AS THOSE IN WHICH THE PARTIES ARE HEADQUARTERED OR BASED
IN DIFFERENT COUNTRIES. ALL FIGURES ARE INFLATION-ADJUSTED TO 2021 DOLLARS. DATA IN THIS REPORT DOES NOT DOMESTIC M&A CROSS-BORDER M&A
INCLUDE SPIN-OFFS ANNOUNCED IN 2021 THAT HAVE NOT BEEN COMPLETED. FIGURES MAY NOT SUM DUE TO ROUNDING. 4
SOURCE: THOMSON
Volume & Number of Large Deals: US$ 1-5 billion Q1 2021
LARGE AND MEGA VOLUME & NUMBER OF LARGE DEALS US$1-5 BILLION
M&A DEALS 2.5 1,000
LARGE DOMESTIC DEALS DRIVE THE SURGE 900
M&A VOLUME (US$ TRILLIONS)
M&A activity in large deals (transactions valued between 2.0 800
US$1 billion and US$5 billion) and mega deals (transactions 1.69 700
NUMBER OF DEALS
valued at US$5 billion or greater) drove the increase in M&A
1.5 600
volume in Q1 2021. 1.22
0.93 1.15 1.13 500
1.12
Large deal volume was US$502 billion in Q1 2021, an 1.10
1.01
1.08
0.98 0.94 0.89
1.0 0.91 400
increase of 15% from Q4 2020 (US$436 billion), and an 0.88
0.73
increase of 165% from Q1 2020 (US$190 billion). This spike 0.67
0.54
0.69 0.76 0.72 0.71
0.60 0.69 300
0.51 0.56 0.51 0.58 0.50
in large deal volume was primarily driven by domestic M&A 0.5 200
0.43
deal volume, which represented 71% (US$358 billion) of large 0.76 0.36
100
deal volume in Q1 2021, a notable increase from the average 0.41 0.23 0.43 0.38 0.37 0.31 0.41 0.39 0.40 0.42 0.49 0.41 0.39
46% 44% 35%35% 44%44%41% 41% 0.14
45% 44% 42% 42%
35% 35%
38% 38% 36%
34% 34% 37%36%40% 37%41% 41%
36% 40% 29%
0.0
Volume & Number of Mega Deals: > US$ 5 billion Q1 2021 0
proportion of first quarter large deal volume over the last 10 2007
2007 2008
2008 2009
2009 2010
2010 2011 2012 2013 2014 2015 2016
2016 2017
2017 2018
2018 2019
2019 2020
2020 2021
2021
years (64%). DOMESTIC M&A CROSS-BORDER M&A NUMBER OF DEALS
Mega deal volume was US$444 billion in Q1 2021, an
increase of 9% from Q4 2020 (US$409 billion), and an
increase of 96% from Q1 2020 (US$227 billion).
VOLUME & NUMBER OF MEGA DEALS > US$5 BILLION
While the proportion of large deals in Q1 2021 that were
2.5 200
cross-border (29%) declined relative to the average annual
proportion of first quarter large deal volume over the last 10 2.07
180
years (36%), the proportion of mega deal volume that was
M&A VOLUME (US$ TRILLIONS)
2.0 160
cross-border increased in Q1 2021 versus the average annual 1.74
140
NUMBER OF DEALS
1.52
proportion of first quarter mega deal volume over the last 10 1.43
1.5 120
1.34 1.28
years. Cross-border deals represented 43% (US$192 billion) of 1.27 1.27
0.93 100
1.12
mega deal volume in Q1 2021, 11% above the average annual 0.99
1.0 0.83 80
proportion of first quarter mega deal volume over the last 10 0.91 0.82 0.82 0.70
1.29 0.80
0.72 0.67
years (32%), and the second highest first quarter cross-border 0.66
0.56 0.66
60
mega deal volume in the past 10 years. 0.5 0.69 0.57
0.61 0.44 40
0.81 0.48 0.79
0.46 0.60 0.25
0.57 20
0.43 0.44 0.47
0.13 0.19 0.21 0.11 0.33 0.23
0.15 0.19
39%
46% 32% 15%15% 28%28%21% 21%
32% 26% 26%
19% 19%
40% 39% 45%
38% 38% 33%45%42% 33%15% 42%
37% 17% 43%
0.0 0
2007
2007 2008
2008 2009
2009 2010
2010 2011 2012 2013 2014 2015 2016 2017
2017 2018
2018 2019
2019 2020
2020 2021
2021
CROSS-BORDER M&A TRANSACTIONS ARE DEFINED AS THOSE IN WHICH THE PARTIES ARE HEADQUARTERED OR BASED DOMESTIC M&A CROSS-BORDER M&A NUMBER OF DEALS
IN DIFFERENT COUNTRIES. ALL FIGURES ARE INFLATION-ADJUSTED TO 2021 DOLLARS. DATA IN THIS REPORT DOES NOT
INCLUDE SPIN-OFFS ANNOUNCED IN 2021 THAT HAVE NOT BEEN COMPLETED. FIGURES MAY NOT SUM DUE TO ROUNDING.
5
SOURCE: THOMSON
M&A Volume by Target Region: Q1 2021
M&A VOLUME BY M&A VOLUME BY TARGET REGION: Q1 2021
TARGET REGION Mexico
Africa/Middle East 0.1%
South America
U.S. DEALS DRIVE GLOBAL M&A 2.3% Canada
3.7%
4.3% Central America
Australia/NZ
U.S. M&A volume accounted for US$671 billion of M&A 2.2%
0.0%
volume in Q1 2021, representing 50% of global M&A volume,
Other Asia
its highest share of global M&A volume since Q2 2019 (58%) 2.2%
and significantly above both its 39% share of global M&A India
1.8%
volume in 2020 and its 43% share of global M&A volume in Japan
1.5%
the last 10 years.
China
In contrast, acquisitions of European and Chinese 10.2% United States
50.4%
companies represented a lower share of M&A volume in
Q1 2021. Acquisitions of European companies accounted for
Europe
US$284 billion of M&A volume in Q1 2021, representing 21% of 21.3%
global M&A volume in Q1 2021, below its 28% share of annual
global M&A volume in 2020 and below its 24% share of global M&A Volume by Target Region: 2007-2019
M&A volume in the last 10 years.
Likewise, acquisitions of Chinese companies represented
a lower share of M&A volume in Q1 2021, accounting for
US$136 billion in Q1 2021, representing 10% of global M&A
M&A VOLUME BY TARGET REGION: 2011-2020
Africa/Middle East
volume in Q1 2021, below its 16% share of annual global M&A
South America 2.2%
Canada
volume in 2020 and below its 14% share of global M&A volume 2.4% 3.0% Mexico
0.5%
in the last 10 years. Australia/NZ Central America
The U.S. was not the only region to see an increase in its 2.7% 0.1%
share of global M&A volume. In particular, the share of global Other Asia
4.5%
M&A volume attributable to acquisitions of companies in India
1.5%
Canada (4.3%, representing a 134% increase relative to its share
Japan
of annual global M&A volume in 2020), Africa and the Middle 2.8%
United States
East (3.7%, representing a 70% increase relative to their share 42.5%
China
of annual global M&A volume in 2020) and South America 13.6%
(2.3%, representing a 97% increase relative to its share of annual
global M&A volume in 2020) all increased in Q1 2021 versus Europe
the full-year 2020. 24.1%
REPRESENTS SHARE OF GLOBAL M&A VOLUME BASED ON TARGET’S HEADQUARTERS. ALL FIGURES ARE INFLATION-
ADJUSTED TO 2021 DOLLARS. DATA IN THIS REPORT DOES NOT INCLUDE SPIN-OFFS ANNOUNCED IN 2021 THAT HAVE
NOT BEEN COMPLETED. FIGURES MAY NOT SUM DUE TO ROUNDING. 6
SOURCE: THOMSON
TRENDS IN M&A VOLUME
BY TARGET REGION
NORTH AMERICAN DEAL VOLUME REACHES
NEW HIGHS
An increase in North American M&A volume in
Q1 2021 drove the global increase in M&A activity, while
other regions of the world experienced declines over the
same period relative to M&A volumes in Q4 2020.
North American M&A activity in Q1 2021 reached
US$728 billion for the quarter, an increase of 14% from
Q4 2020 (US$641 billion), an increase of 169% from Q1 2020
(US$271 billion), and an increase of 104% from the average
North American M&A volume over the last 10 first quarters
(US$357 billion).
In contrast, M&A volume in Europe in Q1 2021 was
US$284 billion, a decrease of 19% from Q4 2020
TRENDS IN M&A VOLUME BY TARGET REGION
(US$350 billion), however an increase of 25% from Q1 2020 2,000
(US$227 billion) and 40% higher than the average European 1,800
M&A volume over the last 10 first quarters (US$203 billion).
1,600
M&A volume in the Asia-Pacific (excluding Japan)
1,400
was US$218 billion in Q1 2021, a decrease of 19% from
1,200
Q4 2020 (US$269 billion), an increase of 46% from Q1 2020
US$ BILLIONS
(US$149 billion) and an increase of 34% from the average 1,000
volume over the last 10 first quarters (US$162 billion). M&A 800
volume in Q1 2021 in Japan (US$20 billion) increased 7% 600
versus Q4 2020 (US$18 billion), but decreased 23% from
400
Q1 2020 (US$26 billion) and 11% from the average Japanese
200
M&A volume over the last 10 first quarters (US$22 billion).
0
2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
ALL FIGURES ARE INFLATION-ADJUSTED TO 2021 DOLLARS. DATA IN THIS REPORT DOES NOT INCLUDE SPIN-OFFS
ANNOUNCED IN 2021 THAT HAVE NOT BEEN COMPLETED.
SOURCE: THOMSON 7
CROSS-BORDER M&A IN
EMERGING ECONOMIES
A REBOUND IN M&A ACTIVITY
After five years of year-over-year declines, M&A
volume involving acquirers or targets in emerging
economies is on pace to rise in 2021. While M&A activity
in emerging economies was US$229 billion in Q1 2021,
a slight decrease of 2% from Q4 2020 (US$234 billion),
it represents an increase of 28% from Q1 2020
(US$178 billion).
Cross-border transactions accounted for 29% of
Cross-Border
emerging economy M&A volume in 2021 (US$67 billion), M&A Volume in Emerging Economies:
2007-2021
an increase of 11% from Q4 2020 (US$61 billion) and 60%
from Q1 2020 (US$42 billion), and in line with the average
share of cross-border emerging economy transactions
over the last 10 first quarters (US$66 billion). EMERGING ECONOMY M&A VOLUME
Significant cross-border transactions in Q1 2021 1,200
1,083
involving acquirers or targets in emerging economies
993
include Hillhouse Capital’s US$4 billion acquisition of 1,000 940
918
897
876 871
Philips’s domestic appliances business, the US$2 billion 842 827
800
acquisition of a minority stake in Rakuten by an 703 691 690
US$ BILLIONS
676
776
investor group including Tencent Holdings, and Kismet 326
493
626
613 581
600
Acquisition One Corp.’s US$2 billion SPAC transaction 501 552
589
659
357 344 375
with Nexters Global. 400
400
268
516 229
200 404 367
346 347 315 308 327 337
276 275 287 162
233
212
61%
61% 49% 46%
49% 46%45%45%
50% 51%
46% 46%
41% 41%
33% 34% 37%
28% 29% 35%37%37% 35%
33% 37%
24% 32%
67 29%
0
EMERGING MARKET TRANSACTIONS ARE DEFINED AS THOSE IN WHICH EITHER OR BOTH PARTIES ARE
HEADQUARTERED OR BASED IN AN EMERGING ECONOMY. CROSS-BORDER M&A TRANSACTIONS ARE DEFINED 2007
2007 2008
2008 2009
2009 2010
2010 2011
2011 2012
2012 2013
2013 2014
2014 2015
2015 2016
2016 2017
2017 2018 2019 2020
2018 2019 2020 2021
2021
AS THOSE IN WHICH THE PARTIES ARE HEADQUARTERED OR BASED IN DIFFERENT COUNTRIES. ALL FIGURES ARE
INFLATION-ADJUSTED TO 2021 DOLLARS. DATA IN THIS REPORT DOES NOT INCLUDE SPIN-OFFS ANNOUNCED IN
2021 THAT HAVE NOT BEEN COMPLETED. FIGURES MAY NOT SUM DUE TO ROUNDING. DEVELOPED AND EMERGING
ECONOMIES ARE DEFINED BY IMF CLASSIFICATION. DOMESTIC M&A CROSS-BORDER M&A
SOURCE: THOMSON 8DISTRESSED DEALS
THE ROAD TO ECONOMIC RECOVERY
The widespread negative effects of Covid-19 on the
global economy, unemployment and consumer spending
brought with them a rise in distressed M&A activity in
recent quarters. However, in Q1 2021, as optimism rebounds
and global M&A activity surges, distressed M&A activity
declined to US$10 billion in Q1 2021, a decrease of 33% from
Q4 2020 (US$15 billion). However, the ongoing effects of
the global pandemic remain, and distressed M&A activity
in Q1 2021 represents an increase of 73% from the early
days of the pandemic in Q1 2020 (US$6 billion).
The largest distressed deal in Q1 2021 was the Distressed Deals: 2000 – 2020
US$4 billion rescue of American car rental firm Hertz by
an investor group comprised of Centerbridge Partners,
Warburg Pincus, and Dundon Capital Partners. DISTRESSED M&A VOLUME
150
125
100
US$ BILLIONS
75
50
25
ALL FIGURES ARE INFLATION-ADJUSTED TO 2021 DOLLARS. DISTRESSED TRANSACTIONS INCLUDE THOSE IN WHICH
THE TARGET ENTITY IS UNDERGOING RESTRUCTURING OR HAS REDUCED THE DEBT ON ITS BALANCE SHEET THROUGH 0
A BANKRUPTCY SALE, A TENDER OFFER OR AN EXCHANGE OFFER FOR EXISTING DEBT SECURITIES, OR A LOAN
011
033
100
5
111
122
166
133
144
155
177
188
199
211
06
09
02
07
20
00
04
08
05
MODIFICATION. AN ENTITY IS CONSIDERED TO BE UNDERGOING RESTRUCTURING IF IT HAS PUBLICLY CONFIRMED
20
20
20
20
20
20
20
20
20
20
20
20
20
20
20
20
20
20
20
20
20
20
RETENTION OF A RESTRUCTURING ADVISOR, PLANS TO RESTRUCTURE ITS DEBT, HAS FILED FOR BANKRUPTCY OR
HAS DEFAULTED ON ITS DEBT, HAS RECEIVED AN S&P OR MOODY’S RATING OF CCC+/CAA1 OR BELOW BEFORE OR IN
REACTION TO THE ANNOUNCEMENT OF A TRANSACTION, OR ITS CREDIT FACILITY OR DEBT SECURITIES CARRY A YIELD
OF 1,000 BPS ABOVE THAT OF U.S. TREASURIES.
SOURCE: THOMSON 9GLOBAL M&A BY SECTOR:
LAST 12 MONTHS
HIGH TECHNOLOGY CONTINUES TO LEAD
In an era of accelerating adoption of virtual
communication, distance learning and remote employment,
the High Technology sector continued to lead all other
major industry sectors in M&A volume in the last 12 months,
representing US$889 billion of global M&A volume and
accounting for over 20% of global M&A volume in the
aggregate. In Q1 2021, 21% of total global M&A volume was
attributable to the High Technology sector (US$274 billion).
The sectors with the next highest M&A volume over
the last 12 months were the Energy & Power and Financials
Global M&A by Sector: Last 12 Months Q3 2019
sectors, representing US$554 billion and US$540 billion
of global M&A volume respectively. In the aggregate, High
Technology, Energy & Power and Financials accounted for M&A VOLUME BY SECTOR - LAST 12 MONTHS
46% of global M&A volume over the last four quarters.
1,000
Consumer Staples, Media & Entertainment and
900
Healthcare were the sectors with the highest proportions of
800
cross-border M&A volume in the last 12 months, with 72%,
700
43% and 42% of total M&A volume respectively attributable
US$ BILLIONS
600
to cross-border transactions.
500
The sectors with the lowest proportion of cross-border
400
M&A activity over the last 12 months were Real Estate,
300
with 29% of total M&A volume attributable to cross-border
200
transactions, and Financials, with 31% of total M&A volume
100
attributable to cross-border transactions.
0
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CROSS-BORDER M&A TRANSACTIONS ARE DEFINED AS THOSE IN WHICH THE PARTIES ARE HEADQUARTERED OR BASED
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IN DIFFERENT COUNTRIES. ALL FIGURES ARE INFLATION-ADJUSTED TO 2021 DOLLARS. DATA IN THIS REPORT DOES NOT
lec
GLOBAL M&A* CROSS-BORDER M&A
Co
dia
10
du
INCLUDE SPIN-OFFS ANNOUNCED IN 2021 THAT HAVE NOT BEEN COMPLETED.
Te
Me
ro
SOURCE: THOMSON *INCLUDES BOTH DOMESTIC AND CROSS-BORDER TRANSACTIONS.
rPAGGREGATE VALUE OF DEALS
FROM DEVELOPED INTO EMERGING ECONOMIES FROM EMERGING INTO DEVELOPED ECONOMIES
250 300
200 250
200
US$ BILLIONS
US$ BILLIONS
150
150
100
100
50 50
0 0
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
INBOUND CHINESE DEALS OUTBOUND CHINESE DEALS
60 250
50 200
US$ BILLIONS
US$ BILLIONS
40
150
30
100
20
50
10
0
0 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
INBOUND INDIAN DEALS OUTBOUND INDIAN DEALS
70 40
60 35
50 30
US$ BILLIONS
US$ BILLIONS
40 25
20
30
15
20
10
10
5
0
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 0
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
ALL FIGURES ARE INFLATION-ADJUSTED TO 2021 DOLLARS. DATA IN THIS REPORT DOES NOT INCLUDE SPIN-OFFS ANNOUNCED IN 2021 THAT HAVE NOT BEEN COMPLETED. DEVELOPED AND EMERGING ECONOMIES ARE DEFINED BY IMF CLASSIFICATION. 11
SOURCE: THOMSONTOP 10 GLOBAL DEALS ANNOUNCED IN Q1 2021
ACQUIRER* TARGET* TARGET DEAL
INDUSTRY VALUE**
AerCap Holdings NV GE Capital Aviation Services Inc Financials 31,244
Ireland United States
Ireland US
Canadian Pacific Railway Ltd Kansas City Southern Industrials 28,743
Canada United States
Canada US
Rogers Communications Inc Shaw Communications Inc Media & 26,000
Canada Canada Entertainment
Canada Canada
National Grid PLC PPL WPD Investments Ltd Energy & Power 20,107
United Kingdom United Kingdom
UK UK
UnitedHealth Group Inc Change Healthcare Inc High Technology 12,800
United States United States
US US
ICON PLC PRA Health Sciences Inc Healthcare 11,879
Ireland United States
Ireland US
Churchill Capital Corp IV Lucid Motors USA Inc Industrials 11,750
United States United States
US US
FinTech Investor Holdings V LLC eToro Group Ltd Financials 10,366
United States Israel
US Israel
Thoma Bravo Advantage ironSource Ltd High Technology 10,000
United States Israel
US Israel
BowX Acquisition Corp WeWork Companies Inc Real Estate 9,908
United States United States
US US 12
*COMPANY NATIONALITY DETERMINED BY LOCATION OF HEADQUARTERS OR BY LOCATION OF TARGET ASSETS. **US$MILLIONSTOP 10 DEALS FROM DEVELOPED INTO EMERGING ECONOMIES*
ANNOUNCED IN Q1 2021
ACQUIRER** TARGET** TARGET DEAL
INDUSTRY VALUE***
RMG Sponsor II LLC ReNew Power Pvt Ltd Energy & Power 3,584
United States India
US India
Allianz SE Aviva PLC - Polish Business Financials 2,941
Germany Poland
Germany Poland
Cellnex Telecom SA Polkomtel Infrastruktura SP ZOO Telecommunications 1,905
Spain Poland
Spain Poland
Carrefour SA Grupo BIG Brasil SA Retail 1,359
France Brazil
France Brazil
Union Acquisition Corp II Procaps SAS Healthcare 1,321
United States Colombia
US APG Energy & Infra Investments SL and Colombia
Cantiles XXI SL Colbún Transmisión SA Energy & Power 1,295
Chile
Chile / Spain
Chile
Chile
Spain TMK Steel Holding Ltd Chelyabinsk Pipe Plant PJSC Materials 1,133
Cyprus Russia
Cyprus Russia
East Stone Acquisition Corp JHD Holdings (Cayman) Ltd Retail 1,000
United States China
US China
KKR & Co Inc InfraCo SpA 1,000
United States Chile Telecommunications
US Chile
Partners Group Holding AG Fortum Oyj - District Heating Business Energy & Power 959
Estonia
Switzerland Estonia / Latvia / Lithuania
Latvia
Switzerland
*DEVELOPED/EMERGING ECONOMIES ARE DEFINED BY IMF CLASSIFICATION, AVAILABLE AT HTTP://WWW.IMF.ORG/EXTERNAL/PUBS/FT/WEO/2010/01/WEODATA/GROUPS.HTM. 13
Lithuania
**COMPANY NATIONALITY DETERMINED BY LOCATION OF HEADQUARTERS OR BY LOCATION OF TARGET ASSETS. ***US$MILLIONSTOP 10 DEALS FROM EMERGING INTO DEVELOPED ECONOMIES*
ANNOUNCED IN Q1 2021
ACQUIRER** TARGET** TARGET DEAL
INDUSTRY VALUE***
Hillhouse Capital Group Ltd Koninklijke Philips NV - Domestic
China Appliances Business Retail 4,370
Netherlands
China Investor Group comprised of Mikitani Kosan Inc, Spirit Inc, Netherlands
Japan Post Holdings Co Ltd - Japan, Tencent Holdings Ltd Rakuten Inc High Technology 2,234
China and Walmart Inc Japan
China / Japan / United States
Japan
Japan
US Kismet Acquisition One Corp Nexters Global Ltd High Technology 2,033
Russia Cyprus
Russia Cyprus
Wipro Ltd Capco High Technology 1,450
India United Kingdom
India Polskie Górnictwo Naftowe i Gazownictwo UK
SA - Republic of Poland INEOS E&P Norge AS - Oil and Gas Business Energy & Power 615
Norway
Poland
Poland Norway Grenadier Energy Partners II LLC - Oil and
Shandong Xinchao Energy Corp Ltd Gas Assets Energy & Power 420
China
United States
China US Undisclosed Multifamily Portfolio -
Investcorp Holdings BSC Residential Properties Real Estate 330
Bahrain
United States
Bahrain US
Gulf Islamic Investments LLC SNC Montreuil Altaïs - Altaïs Towers Real Estate 302
United Arab Emirates France
UAE France Consumer
GreenVision Capital Holdings LLC Helbiz Inc Products & 300
China United States
Services
China Investor Group led by SoftBank Group Corp US
and Tencent Holdings Ltd Patsnap Pte Ltd High Technology 300
Singapore
Japan
Japan / China
China
*DEVELOPED/EMERGING Singapore
ECONOMIES ARE DEFINED BY IMF CLASSIFICATION, AVAILABLE AT HTTP://WWW.IMF.ORG/EXTERNAL/PUBS/FT/WEO/2010/01/WEODATA/GROUPS.HTM. 14
**COMPANY NATIONALITY DETERMINED BY LOCATION OF HEADQUARTERS OR BY LOCATION OF TARGET ASSETS. ***US$MILLIONSTOP 10 NORTH AMERICAN DEALS ANNOUNCED IN Q1 2021
ACQUIRER* TARGET* TARGET DEAL
INDUSTRY VALUE**
AerCap Holdings NV GE Capital Aviation Services Inc Financials 31,244
Ireland United States
Ireland US
Canadian Pacific Railway Ltd Kansas City Southern Industrials 28,743
Canada United States
Canada US
Rogers Communications Inc Shaw Communications Inc Media & 26,000
Canada Canada Entertainment
Canada Canada
UnitedHealth Group Inc Change Healthcare Inc High Technology 12,800
United States United States
US US
ICON PLC PRA Health Sciences Inc Healthcare 11,879
Ireland United States
Ireland US
Churchill Capital Corp IV Lucid Motors USA Inc Industrials 11,750
United States United States
US US
BowX Acquisition Corp WeWork Companies Inc Real Estate 9,908
United States United States
US US
Hitachi Ltd GlobalLogic Inc High Technology 9,600
Japan United States
Japan US
Teledyne Technologies Inc FLIR Systems Inc Industrials 7,941
United States United States
US US
Apollo Global Management Inc Athene Holding Ltd Financials 7,802
United States United States
US US 15
*COMPANY NATIONALITY DETERMINED BY LOCATION OF HEADQUARTERS OR BY LOCATION OF TARGET ASSETS. **US$MILLIONSTOP 10 ASIA-PACIFIC DEALS ANNOUNCED IN Q1 2021
ACQUIRER* TARGET* TARGET DEAL
INDUSTRY VALUE**
Piramal Enterprises Ltd Dewan Housing Finance Corp Ltd Financials 4,711
India India
India India
RMG Sponsor II LLC ReNew Power Pvt Ltd Energy & Power 3,586
United States India
US Investor Group comprised of Cosmic Success Holdings Ltd, Upper India China Evergrande New Energy Vehicle
World Ltd, Heyirong International Trade Co Ltd, Greenwoods Global
Investment Ltd, Li Minghui and Chan Hoi Wan Group Ltd Industrials 3,354
China / British Virgin Islands China
China
British Virgin Investor Group comprised of Macquarie Group Ltd China
and Aware Super Pty Ltd Vocus Group Ltd Telecommunications 2,700
Australia
Australia
Australia Australia
Jingdong Digits Technology Holding Co Ltd JD.com Inc - Cloud and AI Businesses High Technology 2,389
China China
China China
QIC Ltd - Commonwealth of Australia Tilt Renewables Ltd Energy & Power 2,335
Australia New Zealand
Australia Investor Group comprised of Shenzhen International Holding Ltd and New Zealand
Shenzhen Kunpeng Equity Investment Management Co Ltd - People’s Suning.com Co Ltd Retail 2,289
Republic of China China
China
China China
SF Holding Co Ltd Kerry Logistics Network Ltd Industrials 2,265
China Hong Kong
China Investor Group comprised of Mikitani Kosan Inc, Spirit Inc, Japan Post
Hong Kong
Holdings Co Ltd - Japan, Tencent Holdings Ltd and Walmart Inc Rakuten Inc High Technology 2,234
China
China / Japan / United States Japan
Japan
Investor Group led by Foshan Xinmingzhu Enterprise Group Co Ltd, Japan
United Strength Harmony Ltd, Shenzhen Jianhui Investment Co Ltd, New Gains Group Ltd
US
Shenzhen Jianke Investment Co Ltd and Shenzhen Mingsheng Duling
China
High Technology 2,105
Commerce & Trade Co Ltd
China
China China 16
*COMPANY NATIONALITY DETERMINED BY LOCATION OF HEADQUARTERS OR BY LOCATION OF TARGET ASSETS. **US$MILLIONSTOP 10 EUROPEAN DEALS ANNOUNCED IN Q1 2021
ACQUIRER* TARGET* TARGET DEAL
INDUSTRY VALUE**
National Grid PLC PPL WPD Investments Ltd Energy & Power 20,107
United Kingdom United Kingdom
UK UK
Gores Holdings V Inc Ardagh Metal Packaging SA Materials 9,460
United States Luxembourg
US Luxembourg Telxius Telecom SA - European
American Tower Corp Telecommunications Towers Division Telecommunications 9,399
United States
Spain
US Spain
Ajax I Holdings LLC Cazoo Ltd Retail 6,380
United States United Kingdom
US UK
Jazz Pharmaceuticals PLC GW Pharmaceuticals PLC Healthcare 6,367
United States United Kingdom
US UK
Cellnex Telecom SA Hivory SAS Telecommunications 6,262
Spain France
Spain France
Renesas Electronics Corp Dialog Semiconductor PLC High Technology 5,676
Japan United Kingdom
Japan UK Lonza Group AG - Specialty Ingredients
Bain Capital LP and Cinven Group Ltd Business Healthcare 4,673
United States / United Kingdom
Switzerland
US
Switzerland Koninklijke Philips NV - Domestic
UK
Hillhouse Capital Group Ltd Appliances Business Retail 4,370
China
Netherlands
China Investor Group comprised of EQT AB, Nestlé SA Netherlands Consumer
Switzerland and Silver Lake Management LLC Independent Vetcare Ltd Products & 4,217
United Kingdom
Switzerland / Sweden / United States Services
Sweden
US
UK 17
*COMPANY NATIONALITY DETERMINED BY LOCATION OF HEADQUARTERS OR BY LOCATION OF TARGET ASSETS. **US$MILLIONSTOP 10 INBOUND CHINESE DEALS ANNOUNCED IN Q1 2021
ACQUIRER* TARGET* TARGET DEAL
INDUSTRY VALUE**
East Stone Acquisition Corp JHD Holdings (Cayman) Ltd Retail 1,000
United States China
US China
SUEZ SA SUEZ NWS Ltd Energy & Power 898
France Hong Kong
France Hong Kong
JPMorgan Chase & Co CMB Wealth Management Co Ltd Financials 410
United States China
US China
Investor Group led by SoftBank Group Corp Beijing Calorie Technology Co Ltd High Technology 360
Japan China
Japan China
First Sponsor Group Ltd Double Wealthy Co Ltd Real Estate 243
Singapore China
Singapore China
argenx SE Zai Lab Ltd
Netherlands China
Healthcare 175
Netherlands China Shenzhen Tusincere Technology Park Consumer
Hong Leong Investments Holdings Pte Ltd Development Co Ltd Products & 132
Singapore
China Services
Singapore Investor Group led by OrbiMed Advisors China
LLC and Oceanpine Capital Ltd Yisheng Biopharma Co Ltd Healthcare 130
China
United States / China
US
China
China Zhongbai Xingye Food Techology (Beijing)
Brenntag AG Co Ltd Consumer Staples 109
Germany
China
Germany Investor Group led by Khazanah Nasional Bhd - China
Malaysia Adicon Holdings Ltd Healthcare 88
China
Malaysia
Malaysia China 18
*COMPANY NATIONALITY DETERMINED BY LOCATION OF HEADQUARTERS OR BY LOCATION OF TARGET ASSETS. **US$MILLIONSTOP 10 OUTBOUND CHINESE DEALS ANNOUNCED IN Q1 2021
ACQUIRER* TARGET* TARGET DEAL
INDUSTRY VALUE**
Hillhouse Capital Group Ltd Koninklijke Philips NV - Domestic
China Appliances Business Retail 4,370
Netherlands
China Investor Group comprised of Mikitani Kosan Inc, Spirit Inc, Netherlands
Japan Post Holdings Co Ltd - Japan, Tencent Holdings Ltd and Rakuten Inc High Technology 2,234
China Walmart Inc Japan
China / Japan / United States
Japan
Japan
US CK Asset Holdings Ltd UK Power Networks Holdings Ltd Energy & Power 1,970
Hong Kong United Kingdom
Hong Kong UK
Affinity Equity Partners JobKorea Co Ltd High Technology 799
Hong Kong South Korea
Hong Kong China Three Gorges Corp - People’s S. Korea
Republic of China Luz del Sur SAA Energy & Power 561
Peru
China
China Peru Grenadier Energy Partners II LLC - Oil and
Shandong Xinchao Energy Corp Ltd Gas Assets Energy & Power 420
China
United States
China US Henderson Park Real Estate Fund I Finance
Wing Tai Properties Ltd Master Ltd - Athene Place Real Estate 355
Hong Kong
United Kingdom
Hong Kong UK Consumer
GreenVision Capital Holdings LLC Helbiz Inc Products & 300
China United States
Services
China Investor Group led by SoftBank Group Corp US
and Tencent Holdings Ltd Patsnap Pte Ltd High Technology 300
Singapore
Japan / China
Japan
China Singapore Consumer
PAG Unispace Global Pty Ltd Products & 233
Hong Kong Australia
Services
Hong Kong Australia 19
*COMPANY NATIONALITY DETERMINED BY LOCATION OF HEADQUARTERS OR BY LOCATION OF TARGET ASSETS. **US$MILLIONSTOP 10 INBOUND INDIAN DEALS ANNOUNCED IN Q1 2021
ACQUIRER* TARGET* TARGET DEAL
INDUSTRY VALUE**
RMG Sponsor II LLC ReNew Power Pvt Ltd Energy & Power 3,584
United States India
US Investor Group led by TCMI Inc, D1 Capital Partners India
LP and Falcon Edge Capital LP Sporta Technologies Pvt Ltd High Technology 400
India
Mauritius / United States
Mauritius
India
US
Advent International Corp ZCL Chemicals Ltd Healthcare 273
United States India
US India International Cargo Terminals &
Bain Capital LP Infrastructure Pvt Ltd Industrials 207
United States
India
US India
Iron Mountain Inc Web Werks India Pvt Ltd High Technology 150
United States India
US India
Warburg Pincus LLC Imagine Marketing Pvt Ltd Retail 100
United States India
US Investor Group led by Qatar Investment Authority India
and Glade Brook Capital Partners LLC VerSe Innovation Pvt Ltd High Technology 100
India
United States / Qatar
US
India Consumer
Qatar
Investor Group led by Tiger Global Management LLC Hella Infra Market Pvt Ltd Products & 100
United States India
Services
US India
Stillfront Group AB Moonfrog Labs Pvt Ltd High Technology 90
Sweden India
Sweden India
Investor Group led by SS&C Technologies Dreamplug Technologies Pvt Ltd
Holdings Inc India
Financials 81
United States
US India 20
*COMPANY NATIONALITY DETERMINED BY LOCATION OF HEADQUARTERS OR BY LOCATION OF TARGET ASSETS. **US$MILLIONSTOP 10 OUTBOUND INDIAN DEALS ANNOUNCED IN Q1 2021
ACQUIRER* TARGET* TARGET DEAL
INDUSTRY VALUE**
Wipro Ltd Capco High Technology 1,450
India United Kingdom
India UK
PGP Glass Pvt Ltd Piramal Glass Ceylon PLC Materials 45
India Sri Lanka
India Sri Lanka
Jubilant FoodWorks Ltd Fides Food Systems Coöperatief UA Financials 35
India Netherlands
India Netherlands Consumer
Reliance Industries Ltd skyTran Inc Products & 27
India United States
Services
India US Consumer
Tech Mahindra Ltd Perigord Life Science Solutions Ltd Products & 25
India Ireland
Services
India Ireland Consumer
Ecom Express Pvt Ltd Paperfly Pvt Ltd Products & 11
India Bangladesh
Services
India Investor Group led by Sequoia Capital Bangladesh
Operations LLC PT Beegroup Financial Indonesia High Technology 10
Indonesia
United States / India
US
India
Indonesia
Tech Mahindra Ltd Payments Technology Services Ltd Financials 9
India Hong Kong
India Hong Kong
Kalpataru Power Transmission Ltd Fasttel Engenharia Ltda Energy & Power 9
India Brazil
India Brazil
Happiest Minds Technologies Ltd PGS Inc High Technology 8
India United States
India US 21
*COMPANY NATIONALITY DETERMINED BY LOCATION OF HEADQUARTERS OR BY LOCATION OF TARGET ASSETS. **US$MILLIONSQUARTERLY REVIEW Q1 2021
The views expressed herein reflect only the views of XBMA’s editorial staff individually and not those of any of XBMA’s founders, academic partners, advisory board members, or others.
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