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Legal Advisors Q4 2010.Indd press release mergermarket League Tables of Legal Advisers to Global M&A - Year End 2010 January 13 2011, for immediate release PRESS CONTACTS EMEA: Flora Wilke Americas: Hannah Bagshawe Asia-Pacifi c: Michel Chau fl [email protected] [email protected] [email protected] Tel: +44 207 059 6348 Tel: +1 646 378 3194 Tel: +852 2158 9706 www.mergermarket.com mergermarket League Tables of Legal Advisers to Global M&A Year End 2010 CONTENTS: Global M&A up 25% from 2009 2 mergermarket M&A Round-up Global M&A totalled US$ 2,122.7bn for 2010, up 24.7% from 2009 (US$ 1,702.1bn). Deal count was also up by 23.4% at 11,921 announced deals 3 Global M&A Overview compared to 9,659 for 2009. 4 - Industry & Geography Breakdown 5 - Top Deals Skadden Arps tops the 2010 legal adviser rankings 6 - Mid-market M&A Activity Skadden Arps Slate Meagher & Flom retained top position in the Global M&A legal advisery tables by total deal value for 2010 despite a drop of 6.2% 7 - Private Equity in total deal value compared to 2009. Six European fi rms made it into the top 20 rankings by value, compared to four in 2009. 8 - Emerging Markets; Hostile vs Contested 10 - Premia and Multiples Analysis Strongest year for private equity buyouts since 2007 11 - Deal Value & Consideration Structure Buyout deals represent 11.1% of global M&A in 2010, up from 7.2% in 2009, making it the strongest year for buyouts (as percentage of total M&A 12 - Legal Adviser rankings activity) since 2007, when they accounted for 22.9%. 14 European M&A Overview 15 - Industry & Geography Breakdown Cross-border deal fl ow up 73% from 2009 16 - Top Deals Cross-border M&A values totalled US$ 808.3bn in 2010, up 72.5% compared to 2009 (US$ 468.5bn). Activity in Q4 2010 reached US$ 280.1bn, the 17 - Legal Adviser Rankings highest since Q3 2008 (US$ 328.5bn). Cross-border M&A made up 38.1% of all global activity in 2010, the highest since 2008 (42.4%). 26 US M&A Overview 27 - Industry & Geography Breakdown Most active year by value for emerging markets M&A 28 - Top Deals In 2010, emerging markets saw 2,812 deals worth US$ 563.9bn, up 22% by deal count and 60.4% by deal value from 2009. It was the busiest year 29 - Legal Adviser Rankings by value on record, surpassing the previous high in 2007 of US$ 499.3bn. The emerging markets accounted for 26.6% of total global M&A in 2010, 35 Asia-Pacifi c M&A Overview continuing the steady increase since 2003 (8.3%), and up from the previous high of 20.7% in 2009. 36 - Industry & Geography Breakdown 37 - Top Deals Average EBITDA multiples highest since 2008 38 - Legal Adviser Rankings The average EBITDA multiple across global M&A for 2010 was 14x, up from 12x in 2009 and the highest since 2008 which saw 15.4x. Premia paid 44 Africa & ME M&A Overview on announced deals reached 21.9% on average. 47 Criteria/About mergermarket Drop in mega deals in 2010 PRESS CONTACTS: Mega deals (over US$ 10bn) represented a total of 15.3% of the value of global M&A announced in 2010, the lowest percentage since 2003, where EMEA: Flora Wilke they represented 14% of total deal value. 2010 saw 18 mega deals announced, the lowest number since 2004 when 14 deals over US$ 10bn were fl [email protected] recorded. Tel: +44 207 059 6348 Americas: Hannah Bagshawe European M&A up 41% by value reaching $645.7bn in 2010, up from $459.4bn in 2009 [email protected] Tel: +1 646 378 3194 US M&A reached $72.9bn in 2010, a 4% increase from the $695.1bn recorded in 2009 Asia-Pacifi c: Michel Chau [email protected] M&A reached $396.6bn in Asia-Pacifi c in 2010, the highest value on record for the region. Q4 2010 was also the highest quarter on record Tel: +852 2158 9706 Press Release: mergermarket League Tables of Legal Advisers for Year End 2010 2 www.mergermarket.com Global M&A Overview Global M&A totalled US$ 2,122.7bn for 2010, up 24.7% from 2009 (US$ 1,702.1bn). Deal count was also up by 23.4% at 11,921 announced deals compared to 9,659 for 2009. However, activity continued to remain below the levels reached in 2005-2008. Q4 2010 fi highest quarter since Q3 2008 which saw activity valuing US$ 707.3bn. Emerging markets had their best year on record and made up 26.6% of total global M&A. 2010’s second largest announced (non-lapsed) deal was within the emerging markets, with America Movil acquiring Carso Global Telecom for US$ 28.1bn. Cross-border M&A values totalled US$ 808.3bn in 2010, up 72.5% compared to 2009 (US$ 468.5bn). Activity in Q4 2010 reached US$ 280.1bn, the highest since Q3 2008 (US$ 328.5bn). Cross-border M&A made up 38.1% of all global activity in 2010, the highest since 2008 (42.4%). The Energy, Mining and Utilities sector accounted for US$ 226.5bn or 28%, with Europe the most active cross-border investor in the nished sector. at US$ 698.7bn, up 23.8% from Q4 2009 (US$ 564.2bn), and was the Skadden Arps Slate Meagher & Flom retained top position in the Global M&A legal advisery tables by total deal value for 2010 despite a drop of 6.2% in total deal value compared to 2009. Six European fi 20 rankings by value, compared to four in 2009. DLA Piper moved up four spots to take top ranking by deal count, having worked on 131 more deals than in 2009. 4,000 3,500 3,000 2,500 Global M&A Deal Size Breakdown - Value 2,000 Value (US$bn) 1,500 1,000 1,300 500 1,200 1,100 0 1,000 RoW M&A Asia-Pacific ex Jp M&A rms made it into the top 900 US M&A Press Release: 2003 2004 2005 2006 2007 2008 2009 2010 European M&A 800 Volume 700 600 Global M&A Activity - Quarterly Value of Deals ($bn) mergermarket League Tables of Legal Advisers for Year End 2010 500 400 $0m - $500m 300 200 100 $501m - $2,000m 0 Qtr1 03 Qtr2 03 Qtr3 03 Qtr4 03 Qtr1 04 $2,001 - $10,000m Qtr2 04 1,400 Qtr3 04 1,300 Qtr4 04 1,200 Qtr1 05 Qtr2 05 1,100 Global Cross Border (regions) Qtr3 05 1,000 Global M&A Qtr4 05 Global Cross Border (individual countries) over $10,001bn Qtr1 06 900 Qtr2 06 4,500 800 Qtr3 06 4,250 Qtr4 06 700 Global Cross Border M&A Analysis - Value 4,000 Qtr1 07 3,750 600 Qtr2 07 3,500 500 Qtr3 07 Value of Deals ($bn) 3,250 Qtr4 07 400 3,000 Qtr1 08 300 2,750 Qtr2 08 2,500 200 Qtr3 08 2,250 Qtr4 08 100 2,000 Qtr1 09 1,750 0 Qtr2 09 1,500 Qtr3 09 3 1,250 Qtr1 03 Qtr4 09 Volume of Deals 1,000 Qtr2 03 Qtr1 10 750 Qtr3 03 Qtr2 10 500 Qtr4 03 Qtr3 10 250 Qtr1 04 Qtr4 10 0 Qtr2 04 Qtr3 04 Qtr4 04 Qtr1 05 Qtr2 05 Qtr3 05 Qtr4 05 Qtr1 06 Qtr2 06 Qtr3 06 Qtr4 06 Qtr1 07 Qtr2 07 Qtr3 07 Qtr4 07 Qtr1 08 Qtr2 08 Qtr3 08 Qtr4 08 Qtr1 09 Qtr2 09 Qtr3 09 Qtr4 09 Qtr1 10 Qtr2 10 www.mergermarket.comQtr3 1 0 Qtr4 10 Global M&A Overview: Industry and Geography Breakdown 2010 2009 Change Sector Value ($bn) mrk share Deal count Value ($bn) mrk share Deal count Value (%) Deal count Energy, Mining & Utilities 544.0 25.6% 1,301 378.0 22.2% 1,084 43.9% 217 Financial Services 293.0 13.8% 1,193 296.4 17.4% 1,059 -1.2% 134 Industrials & Chemicals 243.4 11.5% 2,155 177.9 10.5% 1,759 36.8% 396 Pharma, Medical & Biotech 186.3 8.8% 912 223.7 13.1% 635 -16.7% 277 Consumer 181.3 8.5% 1,440 148.6 8.7% 1,278 22.1% 162 Telecommunications 176.8 8.3% 205 79.7 4.7% 176 121.9% 29 Business Services 119.5 5.6% 1,455 64.6 3.8% 1,081 85.0% 374 Technology 93.8 4.4% 1,212 77.7 4.6% 865 20.7% 347 Transport 88.4 4.2% 348 70.6 4.1% 286 25.3% 62 Real Estate 60.5 2.8% 261 48.6 2.9% 235 24.5% 26 Construction 44.9 2.1% 491 44.7 2.6% 376 0.5% 115 Leisure 36.1 1.7% 397 18.7 1.1% 343 93.6% 54 Media 35.9 1.7% 360 59.8 3.5% 341 -40.0% 19 Agriculture 12.1 0.6% 139 9.4 0.6% 108 28.5% 31 Defence 6.6 0.3% 52 4.2 0.2% 33 57.0% 19 Total 2,122.7 11,921 1,702.4 9,659 24.7% 2,262 Mix of Announced Deals by Geographic Region 2010 - Value South East Asia Mix of Announced Deals by Geographic Region 2010 - Volume South & Central Asia 3.3% South East Asia 2.6% Africa & Middle East South & Central Asia 2.6% 2.5% 2.6% Africa & Middle East 2.5% Australasia 5.0% Australasia 3.6% Japan Japan 2.8% 2.7% North America North America 37.9% 33.5% North Asia North Asia 7.7% 9.4% Central & Eastern Europe 4.3% Central & Eastern Europe 4.9% Northern Europe 1.8% Northern Europe 5.4% Southern Europe Central & South America 6.4% Southern Europe 4.0% Central & South America 6.3% 8.0% Western Europe 17.6% Western Europe 22.3% Press Release: mergermarket League Tables of Legal Advisers for Year End 2010 4 www.mergermarket.com Global M&A Overview: Top Deals Activity Table of Global M&A for Year End 2010 Announced Bidder Company Bidder Legal Adviser Target Company Target/Seller Legal Adviser Seller Company Deal Value Date (US$m) 08-Dec-10 United States Department of Davis Polk & Wardwell American International Group Sullivan & Cromwell 48,001 the Treasury Inc (60.8% Stake) 18-Aug10* BHP Billiton Plc Blake Dawson; Blake, Cassels & Graydon; Cleary Potash Corporation of Jones Day; Skadden Arps Slate Meagher & 41,908 Gottlieb Steen & Hamilton; Mayer Brown; Saskatchewan Inc Flom (Advising Bank of America Merrill Lynch; Slaughter and May Goldman Sachs; RBC Capital Markets); Stikeman Elliott 01-Mar-10* Prudential Plc Cleary Gottlieb Steen & Hamilton; Herbert American International Advisng seller: Cravath Swaine & Moore (Advising American International 35,500 Smith/Gleiss Lutz/Stibbe (Advising Credit Assurance Company Limited Citigroup; Goldman Sachs); Davis Polk & Group Inc Suisse; HSBC Bank; Lazard); Slaughter and May Wardwell; Debevoise & Plimpton; Freshfi elds Bruckhaus Deringer; Norton Rose; Simpson Thacher & Bartlett; Sullivan & Cromwell; Weil Gotshal & Manges 13-Jan-10 America Movil SA de CV Cleary Gottlieb Steen & Hamilton; Dewey
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