sign in sign up
<<
Home , Afterpay, Bank of Queensland, Crown Resorts, Macquarie Group, Vocus Group

Australia Review First Quarter 2021 Refinitiv Deals Intelligence

1 QUARTERLY HIGHLIGHTS INVESTMENT BANKING ACTIVITY

HIGHLIGHTS

M&A FEES DOWN -9% M&A TOP FINANCIAL ADVISOR YTD ECM FEES 120% & Co DCM FEES DOWN -7% ECM TOP BOOK RUNNER YTD Goldman Sachs & Co LOAN FEES DOWN -25% DCM TOP BOOK RUNNER YTD ANY INV. M&A UP 184% Citi TARGET M&A UP 294% M&A TOP TARGETED INDUSTRY ECM PROCEEDS UP 59% Energy and Power DCM PROCEEDS DOWN -16% DCM TOP ISSUING ECM TOP ISSUING Click on any of the above arrows to go straight to the analysis. INDUSTRY INDUSTRY Financials Financials

CLICK BELOW TO SIGN UP FOR OUR NEWSLETTERS, PURCHASE CUSTOMIZED DATA OR FOLLOW US ON SOCIAL MEDIA:

2 An LSEG business REPORT SUMMARY

Investment Banking Fees Australian investment banking activities generated US$478.4 million during the first quarter of 2021, a 14.8% increase compared to the first quarter of 2020. Completed M&A advisory fees amounted to US$87.2 million, an 8.7% decline from the first quarter of last year. ECM underwriting fees, which accounted for 40% of investment banking fee pool so far this year, totaled US$191.9 million and grew 120.4% from the same period last year, making it the highest first quarter period since 2015. DCM underwriting fees fell 7.4% to US$121.7 million from a year ago. Syndicated lending fees dropped by 24.5% to US$77.6 million. JP Morgan currently takes the top spot in Australia’s investment banking fee league tables with $36.6 million in related fees and a 7.6% wallet share.

Mergers & Acquisitions Overall Australian involvement announced M&A activity reached a six-year high with US$37.3 billion worth of deals during the first quarter of 2021, a 183.9% increase compared to the first quarter of 2020. Outbound M&A totaled US$11.9 billion, up 116.2% in value compared to the first quarter of last year, the highest start since 2018. By value, Spain takes the top as most targeted nation for Australian acquisitions which accounted for 49.9% market share, while United States saw highest number of acquisitions from Australia with 9 deals worth US$2.8 billion or 23.3% market share. Australian inbound activity totaled US$12.6 billion so far this year, up 436.8% from the first quarter of 2020, the highest first quarter period since 2009. This was driven by acquisitions from United States and Canada which captured 69.5% and 16.6% market share, respectively, of Australia’s inbound activity. Domestic M&A amounted to US$11.1 billion, up 203.1% from a year ago. Majority of the deal making activity involving Australia targeted the Energy & Power sector which totaled US$13.2 billion in deal value, a significant increase from a year ago and captured 35.4% market share. Media & Entertainment and Financials followed behind, accounting for 18.7% and 17.8% market share, in terms of value. Blackstone Group planned to acquire the remaining 90% interest, which it did not already own, in Ltd, a Southbank-based casino hotel operator, for US$6.2 billion. The deal is currently the biggest buyout in Australia’s Media & Entertainment industry. Goldman Sachs currently leads the any Australian involvement announced M&A league tables, with US$10.3 billion in related deal value capturing 27.6% market share.

Equity Capital Markets Australian equity capital markets (ECM) raised US$6.3 billion so far this year, up 59.5% in proceeds compared to the first quarter of 2020. This is the highest start to a year since 2018 by proceeds, and the busiest-ever by number of ECM issuances. Initial public offerings (IPO) by Australian companies raised US$329.9 million, more than a seven-fold increase from a year ago. Follow-on offerings reached US$4.6 billion in proceeds, up 17.9% from last year’s first quarter period. priced a US$1.2 billion convertible bond offering, making it the biggest Australian ECM deal so far this year, while DDH1 Limited issued the biggest IPO by an Australian company with US$115.6 million. Australian issuers from the Financials industry accounted for 40.9% of the ECM market share and raised US$2.6 billion in proceeds. Materials (US$1.8 billion) and Energy & Power (US$934.8 million) followed with 27.9% and 14.9% market share, respectively. Goldman Sachs currently leads the ranking for Australia ECM underwriting with US$1.5 billion in related proceeds and 24.3% market share.

Debt Capital Markets Primary bond offerings from Australia-domiciled issuers raised US$28.7 billion so far this year, a 15.8% decline compared to the first quarter of last year, making it the lowest first quarter period since 2008. Australian companies from the Financials sector captured 53.5% market share and raised US$15.3 billion, down 33.6% compared to the first quarter of 2020. Government & Agencies accounted for 27.5% market share with US$7.9 billion in proceeds, down 10.1% from a year ago. Citi takes the lead in the Australian bonds underwriting league table with US$4.4 billion in related proceeds, capturing 15.5% market share.

3 An LSEG business BACK TO AUSTRALIA HIGHLIGHTS INVESTMENT BANKING FEES PAGE

INVESTMENT BANKING FEES VOLUMES TOP FEE PAYING INDUSTRIES (by Market Share) YTD Fees 700 • Outer Rim: 2021 • Inner Rim: 2020 600

500 18%

400

300 27% 36% 4% US$ Million US$ 200 46% 100 5% 1% 0 12 13 14 15 16 17 18 19 20 21 8% 8% 5% INVESTMENT BANKING FEES BY ASSET CLASS 13% BONDS EQUITY LOANS MA 350 29% 300

250

200

150 Financials Materials Energy and Power US$ Million US$ 100 Healthcare High Technology Other 50

0 12 13 14 15 16 17 18 19 20 21

4 An LSEG business BACK TO AUSTRALIA HIGHLIGHTS MERGERS & ACQUISITIONS PAGE

ANY INVOLVEMENT M&A VOLUMES & NUMBER OF DEALS TOP TARGETED INDUSTRIES (Any Involvement) YTD Volumes Rest of Year Volumes #Deals 180,000 500 • Outer Rim: 2021 160,000 450 • Inner Rim: 2020 140,000 400 350 120,000 14% 300 100,000 250 80,000 7% 200 4% 8% 35% US$ Million US$ 60,000 150 40,000 100 43% 20,000 50 10% 18% 0 - 12 13 14 15 16 17 18 19 20 21

TARGET M&A VOLUMES & NUMBER OF DEALS YTD Volumes Rest of Year Volumes #Deals 1% 23% 18% 120,000 400 350 100,000 19% 300 80,000 250 60,000 200 150 Energy and Power Media and Entertainment US$ Million US$ 40,000 100 Financials Telecommunications 20,000 50 Industrials Other 0 - 12 13 14 15 16 17 18 19 20 21

5 An LSEG business BACK TO AUSTRALIA HIGHLIGHTS MERGERS & ACQUISITIONS PAGE

INBOUND M&A DOMESTIC M&A OUTBOUND M&A Inbound M&A is up 436.8% from YTD last year, Domestic M&A is up 203.1% from YTD last year, Outbound M&A is up 116.2% from YTD last year, accounting for US$12.6 Bn so far this year. reaching US$11.1 Bn so far this year. totaling US$11.9 Bn so far this year. YTD Volumes Rest of Year Volumes #Deals YTD Volumes Rest of Year Volumes #Deals YTD Volumes Rest of Year Volumes #Deals 60,000 150 60,000 250 50,000 100

50,000 50,000 200 40,000 80 40,000 100 40,000 150 30,000 60 30,000 30,000 100 20,000 40

20,000 50 20,000

US$Million US$Million US$Million 10,000 20 10,000 10,000 50 0 - 0 - 0 - 14 15 16 17 18 19 20 21 14 15 16 17 18 19 20 21 14 15 16 17 18 19 20 21 INBOUND M&A VOLUMES OUTBOUND M&A VOLUMES TOP ACQUIRING NATIONS TOP TARGETED NATIONS US$ Million US$ Million 0 2,000 4,000 6,000 8,000 10,000 0 1,000 2,000 3,000 4,000 5,000 6,000 7,000

8,742 5,954 United States Spain 279 55 2,087 2,785 Canada United States 23 4,421 300 2,395 New Zealand 615 0 294 356 South Africa United Kingdom 0 437 283 275 China Canada 390 37

6 An LSEG business BACK TO AUSTRALIA HIGHLIGHTS MERGERS & ACQUISITIONS PAGE

ANY INVOLVEMENT M&A TOP DEALS YTD

Rank Value Acquiror Ultimate Status Rank Date Target Name Target Nation Acquiror Name Acquiror Nation Acquiror Ultimate Parent Name (US$Mil) Parent Nation

6,244.3 Pending 3/22/2021 Crown Resorts Ltd Australia Blackstone Group Inc United States Blackstone Group Inc United States

5,894.9 Intended 1/26/2021 Naturgy Energy Group SA Spain Global InfraCo O (2) Sarl Luxembourg Industry Super Holdings Pty Australia

3,479.9 Pending 2/8/2021 Ltd Australia Investor Group Australia Investor Group Australia

2,335.2 Pending 3/15/2021 Tilt Renewables Ltd New Zealand Pisa Obligor Co 1 Pty Ltd Australia Australia Australia

2,065.4 Pending 1/19/2021 Ltd Australia Bingo Industries Ltd SPV Australia Bingo Industries Ltd SPV Australia

1,920.8 Pending 2/2/2021 Enwave Energy Corp-US Business United States Investor Group Australia Investor Group Australia

Australian Unity Healthcare Property 1,817.6 Pending 2/26/2021 Australia Investor Group Canada Investor Group Canada Trust

1,314.8 Pending 2/25/2021 Ltd-Logistics Assets Australia Logos Australia Group Pty Ltd Australia Logos Australia Group Pty Ltd Australia

1,062.7 Pending 2/26/2021 AMP Ltd-Private Markets Businesses Australia Corp United States Ares Management Corp United States

1,042.6 Pending 2/22/2021 Members Equity Ltd Australia Bank of Ltd Australia Ltd Australia

7 An LSEG business BACK TO AUSTRALIA HIGHLIGHTS EQUITY CAPITAL MARKETS PAGE

ECM PROCEEDS TOP ISSUING INDUSTRIES YTD Proceeds Rest of Year Proceeds # of Issues 50,000 250 YTD Proceeds YTDLY Proceeds YoY Proceeds Change (%) 45,000 3,000 1200% 40,000 200 1092% 2,500 962% 1000% 35,000 800% 30,000 150 2,000 25,000 600% 1,500 20,000 100 441%

US$ Million US$ 400% 15,000

US$ Million US$ 1,000 10,000 50 171% 200% 5,000 500 0% -65% 0 0 -87% 12 13 14 15 16 17 18 19 20 21 0 -200% Financials Materials Energy and High Healthcare Other ECM PROCEEDS BY ISSUE TYPE Power Technology

IPO Follow-On Convertible 9,000 8,000 7,000 6,000 5,000 4,000

US$ Million US$ 3,000 2,000 1,000 0 12 13 14 15 16 17 18 19 20 21

8 An LSEG business BACK TO AUSTRALIA HIGHLIGHTS DEBT CAPITAL MARKETS PAGE

DCM PROCEEDS TOP ISSUING INDUSTRIES YTD Proceeds Rest of Year Proceeds # of Issues 200,000 100 YTD Proceeds YTDLY Proceeds YoY Proceeds Change (%) 180,000 90 25,000 80% 160,000 80 66% 60% 140,000 70 20,000 120,000 60 40% 100,000 50 15,000 20%

80,000 40 US$ Million US$ 60,000 30 10,000 0% 0% 0%

40,000 20 Million US$ -10% 20,000 10 -20% 5,000 -34% 0 0 -40% 12 13 14 15 16 17 18 19 20 21 -46% DCM PROCEEDS BY ISSUE TYPE 0 -60% Financials Government Energy and Materials Real Estate Other Investment Grade Corporate Agency, Supranational, Sovereign MBS and Agencies Power High Yield Corporate ABS Emerging Market Corporate Federal Credit Agency

2021 YTD

2020 YTD

0 5,000 10,000 15,000 20,000 25,000 30,000 35,000 40,000 US$ Million

9 An LSEG business BACK TO AUSTRALIA HIGHLIGHTS EQUITY & DEBT CAPITAL MARKETS TOP DEALS PAGE

ECM TOP DEALS YTD Proceeds Primary Issue Date Issuer Issue Type Nation Industry Mid Industry (US$ mil) Exchange

2/25/2021 1,180.8 Afterpay Ltd Convertible Australia Financials Other Financials SINGP

3/10/2021 1,059.9 Bank of Queensland Ltd Follow-On Australia Financials AUSLA

IT Consulting & 3/25/2021 634.3 Ltd Follow-On Australia High Technology AUSLA Services

3/5/2021 603.5 Santos Ltd Follow-On Australia Energy and Power Oil & Gas AUSLA

2/28/2021 376.5 Genworth Mtg Ins Australia Follow-On Australia Financials Insurance AUSLA

DCM TOP DEALS YTD Proceeds Issue Date Issuer Issue Type Nation Industry Mid Industry Currency (US$ mil) of 3/2/2021 2,750.0 Investment Grade Corporate Australia Financials Banks U.S. Dollar Australia Agency, Supranational, Government and 1/29/2021 2,281.7 Queensland Treasury Corp Australia National Agency Sovereign Agencies Agency, Supranational, Government and 1/20/2021 1,936.5 Treasury Corp of Australia Regional Agency Australian Dollar Sovereign Agencies

3/9/2021 1,648.7 APT Pipelines Ltd Investment Grade Corporate Australia Energy and Power Pipelines EURO

FMG Resources(August 3/18/2021 1,500.0 High Yield Corporate Australia Materials Metals & Mining U.S. Dollar 2006)Pty

10 An LSEG business BACK TO AUSTRALIA HIGHLIGHTS INVESTMENT BANKING FEE LEAGUE TABLES PAGE

INVESTMENT BANKING FEES LEAGUE TABLE JP Morgan Citi Goldman Sachs & Co UBS Canaccord Genuity Grp Inc Commonwealth Bank of Australia Banking 45

40 7.6% 35

30 6.1% 6.1% 6.0% 5.9% 25

20 4.3% 3.9% 3.8% 3.4%

15 3.2% Fees US$ in millions 10

5

0 0 1 2 3 4 5 6 7 8 9 10 11 Rank INVESTMENT BANKING FEES LEAGUE TABLE (US$MIL)

FEES FEES YOY SHARE YOY #DEALS YOY 1Q 2021 1Q 2020 BANK NAME SHARE (%) #DEALS (US$Mil) CHANGE (%) CHANGE (%) CHANGE (%)

1 6 JP Morgan $ 36.6 71.7% 7.6% 2.5% 10 -28.6% 2 8 Citi $ 29.3 71.6% 6.1% 2.0% 18 38.5% 3 3 Goldman Sachs & Co $ 29.0 23.5% 6.1% 0.4% 10 -16.7% 4 2 UBS $ 28.6 16.8% 6.0% 0.1% 13 -27.8% 5 19 Canaccord Genuity Grp Inc $ 28.3 417.7% 5.9% 4.6% 30 100.0% 6 11 Commonwealth Bank of Australia $ 20.4 53.9% 4.3% 1.1% 23 27.8% 7 10 Credit Suisse $ 18.6 26.7% 3.9% 0.4% 4 -33.3% 8 1 Macquarie Group $ 18.0 -40.0% 3.8% -3.4% 11 -35.3% 9 7 Westpac Banking $ 16.4 -20.7% 3.4% -1.5% 18 -14.3% 10 5 National Australia Bank $ 15.4 -29.0% 3.2% -2.0% 23 -8.0% TOTAL $ 478.4 14.8% 341 18.4%

11 An LSEG business BACK TO AUSTRALIA HIGHLIGHTS INVESTMENT BANKING LEAGUE TABLES PAGE

ANY INVOLVEMENT M&A LEAGUE TABLE (US$MIL) RANK VALUE RANK VALUE SHARE YOY #DEALS YOY 1Q 2021 1Q 2020 BANK NAME YOY CHANGE SHARE (%) #DEALS (US$ Mil) CHANGE (%) CHANGE (%) (%) 1 1 Goldman Sachs & Co $ 10,267.3 107% 28% -27% 10 100% 2 12 UBS $ 9,624.5 876% 26% 244% 5 67% 3 10 Credit Suisse $ 9,374.7 799% 25% 219% 4 100% 4* - BNP Paribas SA $ 5,894.9 - 16% - 1 - 4* 2 Citi $ 5,894.9 77% 16% -38% 1 -75% 4* - Ind Super Hldg Pty Ltd $ 5,894.9 - 16% - 1 - 4* - Duff & Phelps $ 5,894.9 - 16% - 1 - 8 4* $ 5,420.0 86% 15% -35% 6 500% 9 13 Macquarie Group $ 3,038.7 238% 8% 19% 9 80% 10 6 BofA Securities Inc $ 3,029.7 126% 8% -21% 5 0% TOTAL $ 37,268.9 184% 432 -1% TARGET M&A LEAGUE TABLE (US$MIL) RANK VALUE RANK VALUE SHARE YOY #DEALS YOY 1Q 2021 1Q 2020 BANK NAME YOY CHANGE SHARE (%) #DEALS (US$ Mil) CHANGE (%) CHANGE (%) (%) 1 4 UBS $ 9,624.5 876% 41% 148% 5 67% 2 5 Goldman Sachs & Co $ 7,182.1 680% 30% 98% 8 167% 3 - Morgan Stanley $ 5,420.0 - 23% - 6 - 4 3 Credit Suisse $ 3,479.9 234% 15% -16% 3 50% 5 6 Macquarie Group $ 1,090.5 21% 5% -69% 6 50% 6 17 Luminis Partners Pty Ltd $ 1,042.6 1494% 4% 300% 2 100% 7 14 BofA Securities Inc $ 694.5 402% 3% 26% 3 50% 8 31* Gresham Partners $ 317.0 - 1% - 2 0% 9 - Kidder Williams Ltd $ 251.1 - 1% - 1 - 10 2 Grant Samuel $ 191.1 -83% 1% -96% 3 -25% TOTAL $ 23,683.4 294% 336 -1%

12 An LSEG business BACK TO AUSTRALIA HIGHLIGHTS INVESTMENT BANKING LEAGUE TABLES PAGE

ECM LEAGUE TABLE (US$MIL) PROCEEDS PROCEEDS SHARE YOY #ISSUES YOY 1Q 2021 1Q 2020 BANK NAME YOY CHANGE SHARE (%) #ISSUES (US$ Mil) CHANGE (%) CHANGE (%) (%) 1 2 Goldman Sachs & Co $ 1,525.5 76% 24% 10% 7 75% 2 1 UBS $ 1,118.8 13% 18% -30% 5 -17% 3 7 Canaccord Genuity Grp Inc $ 565.4 347% 9% 181% 29 107% 4 3 JP Morgan $ 514.7 -17% 8% -48% 3 -40% 5 - Citi $ 504.9 - 8% - 3 - 6 - Morgan Stanley $ 301.7 - 5% - 1 - 7 11 Morgans Financial Ltd $ 182.7 410% 3% 222% 13 160% 8 6 Bell Financial Group Ltd $ 172.4 0% 3% -36% 16 60% 9 13 Shaw & Partners Ltd $ 134.0 347% 2% 163% 7 75% 10 - Euroz Ltd $ 124.2 - 2% - 21 - TOTAL $ 6,274.5 59% 230 78% DCM LEAGUE TABLE (US$MIL) PROCEEDS PROCEEDS SHARE YOY #ISSUES YOY 1Q 2021 1Q 2020 BANK NAME YOY CHANGE SHARE (%) #ISSUES (US$ Mil) CHANGE (%) CHANGE (%) (%) 1 2 Citi $ 4,434.6 37% 16% 63% 14 40% 2 6 Commonwealth Bank of Australia $ 3,832.1 61% 13% 91% 17 70% 3 3 National Australia Bank $ 3,315.1 18% 12% 40% 21 11% 4 4 ANZ Banking Group $ 2,159.1 -17% 8% -3% 12 -8% 5 1 Westpac Banking $ 2,133.5 -56% 8% -47% 13 -13% 6 5 BofA Securities Inc $ 1,990.4 -16% 7% 0% 8 -27% 7 7 HSBC Holdings PLC $ 1,533.9 -27% 5% -13% 7 -22% 8 16 Morgan Stanley $ 1,453.3 191% 5% 240% 5 150% 9 11 JP Morgan $ 1,324.7 -12% 5% 5% 5 -17% 10 8 UBS $ 1,066.1 -49% 4% -40% 6 -33% TOTAL $ 28,650.5 -16% 43 -17%

13 An LSEG business BACK TO HIGHLIGHTS CONTACTS / GLOSSARY PAGE

ABOUT REFINITIV MERGERS & ACQUISITIONS Refinitiv, an LSEG ( Exchange Group) business, is one of the world’s largest providers of The Refinitiv Mergers & Acquisitions database tracks changes in economic ownership at ultimate parent level in going financial markets data and infrastructure. With $6.25 billion in revenue, over 40,000 customers and business concerns. All deals involving a purchase of at least a 5% stake, or 3% with a value of at least US$1 million are 400,000 end users across 190 countries, Refinitiv is powering participants across the global financial tracked, subject to criteria. League tables include rank eligible mergers, acquisitions, repurchases, spin-offs, self-tenders, marketplace. We provide information, insights, and technology that enable customers to execute critical minority stake purchases and debt restructurings. League tables, commentary, and charts citing announced activity are investing, trading and risk decisions with confidence. By combining a unique open platform with best-in- based on Rank Date and include intended, pending, partially complete, completed, pending regulatory, and unconditional class data and expertise, we connect people to choice and opportunity – driving performance, transactions. Rank Date is defined as the earliest public announcement of when a value can be applied to a transaction. innovation and growth for our customers and partners. EQUITY CAPITAL MARKETS Now, as part of LSEG we are underpinned by the strength and stability of a more than 300-year-old The Refinitiv Equity Capital Markets database covers domestic and international placements of equity offerings in addition organisation, broadening our capacity to positively impact the financial community — be it in trading and to domestic and international equity-related transactions. This includes IPOs, follow-on offerings, accelerated book builds banking, investment, wealth, customer and third-party risk, and enterprise data solutions. and block trades (with certain restrictions) and convertible bonds. Convertible Bonds with a minimum life of less than 360 For more information, go to www.refinitiv.com. days are excluded. Minimum life defined as the difference between the settlement date and the earliest maturity date or first call/put option. ABOUT DEALS INTELLIGENCE DEBT CAPITAL MARKETS Refinitiv Deals Intelligence, a part of LSEG's Data & Analytics division, brings up to the minute market The Refinitiv Debt Capital Markets database covers underwritten debt with an issue size of over US$1 million, that intelligence to the deal making community and the financial media through a variety of research reports matures in at least 360 days from settlement. It includes all internationally offered underwritten debt transactions in all including Daily Deals Insight, weekly Investment Banking Scorecard, monthly Deals Snapshots and our currencies, Domestic issuance, Preferred Securities, High Yield and Emerging Market transactions that are offered in US industry-leading quarterly reviews highlighting trends in M&A and Capital Markets. and Globally, Asset Backed Securities, Mortgage Backed Securities, Collateralized Debt Obligations (CDOs), MTN For more insights, go to www.refinitiv.com/dealsintelligence takedowns and Certificate of Deposits, except in UK. Primary offerings only. All league tables are based on deal proceeds (total issue amount multiplied by the issue price) unless otherwise stated. Full credit is given to the book CONTACT INFORMATION runner, equal if joint books. In cases of underwriter consolidation, credit is given to the surviving/parent firm. Non-US AMERICAS dollar denominated transactions are converted to the US dollar equivalent at the time of announcement. Matt Toole | +1 646 223 7212 | [email protected]

EMEA While Refinitiv has used reasonable endeavours to ensure that the information provided in this document is accurate and Lucille Jones | +44 (0) 204 530 2000 | [email protected] up to date as at the time of issue, neither Refinitiv nor its third party content providers shall be liable for any errors, Saiem Jalil | +44 (0) 204 530 2000 | [email protected] inaccuracies or delays in the information, nor for any actions taken in reliance thereon, nor does it endorse any views or opinions of any third party content provider. Refinitiv disclaims all warranties, express or implied, as to the accuracy or ASIA completeness of any of the content provided, or as to the fitness of the content for any purpose to the extent permitted by Elaine Tan | +63 (2) 8459 1567 | [email protected] law. The content herein is not appropriate for the purposes of making a decision to carry out a transaction or trade and does not provide any form of advice (investment, tax, legal) amounting to investment advice, nor make any recommendations or solicitations regarding particular financial instruments, investments or products, including the buying or selling of securities. Refinitiv has not undertaken any liability or obligation relating to the purchase or sale of securities for or by any person in connection with this document.

14 An LSEG business 15