Mergers & acquisitions and the capital markets: 2017 in review
- Strong Mergers and Acquisitions (M&A) activity by historical standards
- Global deal volume: ~$3.4 trillion as of Dec. 18, down about 3% from the same period in 2016
- US deal volume: $1.4 trillion, down about 11%
- Despite a 2 year decline, global deal volume remains above $3 trillion and US deal volume remains above $1 trillion for the 4th consecutive year
- Globally and in the US, deal count remained relatively unchanged
- US listed Initial Public Offerings (IPOs) reached a 3 year high
- Issuance on the US exchanges totaled $47.8bn via 179 IPOs (as of November 30th, 2017)
- Technology became once again the top sector for US-listed IPO volume with $12 billion raised by 34 companies
- There were 33 Special Purpose Acquisition Company (SPAC) IPOs, representing the highest activity since full-year 2007
- Almost 1 in 5 IPOs in 2017 was withdrawn in favor of an M&A transaction
- Venture capital reached a new high with $148+ billion invested
- Deal count declined for a 2nd year from a high of 19,000 in 2015
- Fewer deals and bigger rounds emerged as trends in the industry
- 8 US companies raised $500+ million rounds
- Venture capital raised and new funds declined from a record year in 2016
- Private equity fundraising hit a record high at $450+ billion
- Private equity backed leveraged buyout activity remained strong, in line with the prior 3 years
- Public-to-private and deals valued at $1+ billion surged as a percentage of total deals
- More than 50% of middle market buyouts are leveraged at more than 6x Earnings Before Interest Taxes Depreciation and Amortization (EBITDA)
- Corporate bond issuance hit new record highs in the US and globally
- Global corporate bond volume: $2.48 trillion
- Global corporate high-yield volume: $496.8 billion
Global M&A fell for the second consecutive year, to $3.52tr in 2017, down 9% from 2016 pic.twitter.com/mbwKQr42pG
— Dealogic (@Dealogic) December 27, 2017
Venture Capital Deals* in 2017 by Region #venturecapitalhttps://t.co/FwSoBiMMS9 pic.twitter.com/EVlLmKOVqQ
— Preqin (@Preqin) January 4, 2018
PE backed Buyout deals 2017 pic.twitter.com/om9YUoEc1S
— AlbertoAW, CFA (@alberto_aw) January 4, 2018
Private equity fundraising hit a record high in 2017 at $453 billion. Number of funds closed declined from 1,243 in 2016 to 921 in 2017. https://t.co/4p8frJ1poH#pe #PrivateEquity pic.twitter.com/dIwaBvTneW
— Sergio Reyes (@sergreyess) January 4, 2018
Is #privateequity at full capacity? https://t.co/3oPgAUhpXh by @PitchBook pic.twitter.com/jRUrA4lgUT
— The Lead Left (@theleadleft) January 4, 2018
#PrivateDebt Fundraising in 2017 by Fund Type
— The Lead Left (@theleadleft) January 2, 2018
https://t.co/R7b3BI1VW4 by @Preqin pic.twitter.com/jEMD3X8umq
Where should #FixedIncome investors look in 2018? At least for now, that question is easy to answer. https://t.co/gy0r7KE4KJ pic.twitter.com/78NUpivVar
— FactSet (@FactSet) December 28, 2017
WSJ markets year in review: Mergers slow as suitors assess new White House https://t.co/dxkbQXZ7BJ via @WSJ pic.twitter.com/YwJeGz18CU
— Dealogic (@Dealogic) December 21, 2017
The top ten largest announced US M&A deals in 2017 account for 29% of the year's $1.47 trillion in disclosed deal value. #spglobaldeals
— S&P Global Market Intelligence (@SPGMarketIntel) January 2, 2018
US-listed IPOs reach a 3-year high https://t.co/DaytKYonoW pic.twitter.com/nhxA2hOYwi
— Dealogic (@Dealogic) December 27, 2017
New high in #VC activity in 2017 with more than $148B of capital invested. Deal count in decline for 2nd consecutive year from a high of 19,000 in 2015. Fewer deals getting more money (i.e., funding rounds are getting bigger). pic.twitter.com/7bIz5scCH6
— Sergio Reyes (@sergreyess) January 3, 2018
PE deals by type 2017 pic.twitter.com/aenEjKMOJs
— AlbertoAW, CFA (@alberto_aw) January 4, 2018
PE deals by value 2017 pic.twitter.com/mMdVgvrxes
— AlbertoAW, CFA (@alberto_aw) January 4, 2018
[Chart of the Week] A record 52% of all #midmarket buyout financings are leveraged at or more than six times ebitda🔓 https://t.co/bsFpOeTKf6 by @TRLPC pic.twitter.com/cYegGRq7se
— The Lead Left (@theleadleft) December 12, 2017