A MERGERMARKET REPORT ON GLOBAL M&A ACTIVITY MONTHLY M&A INSIDER JUNE 2016 CONTENTS
03 GLOBAL OVERVIEW
12 NORTH AMERICA 20 C&S AMERICA 28 EUROPE 36 MIDDLE EAST & AFRICA
44 ASIA-PACIFIC (excluding Japan) 52 JAPAN
60 ABOUT MERRILL CORPORATION & MERRILL DATASITE 62 MERRILL CORPORATION CONTACTS GLOBAL OVERVIEW GLOBAL OVERVIEW
Global M&A continued in May with the year’s general cool down trend, seeing 1,054 deals worth Key Stats US$224.5bn, a 39.7% decrease in value with 356 fewer deals than the corresponding period in 2015, which had seen 1,410 deals worth US$372.5bn. May 2016’s value was just above the 2016 year-to-date (YTD) month-by-month deal value average of US$206bn. The corresponding 2015 1,054 deals valued at US$224.5bn, down 39.7% by value with 356 fewer average had been US$263.5bn, which May 2015 had also exceeded. deals compared to 1,410 deals worth US$372.5bn in May ’15 Private equity activity has not followed the EMU’s value is more impressive considering eclipsed by the US’s activity in May. US bidders global slowdown, however. Q2 2016 buyouts the second-place sector – Business Services saw 87 deals worth US$16.2bn, while Chinese have seen 367 deals worth US$72.2bn so – had the top deal, and three out of five bidders saw 28 deals worth US$11.7bn. Top sector far, a 23.9% increase in value from the top deals, in its sector. The number one Energy, Mining & Utilities corresponding 2015 figures of 405 deals deal of the month was US-based Quintiles EMU’s deal making activity is likely to saw 80 deals worth worth US$58.3bn. Exits saw 330 deals worth Transnational Holdings’ acquisition of IMS continue through 2016. Despite oil prices US$40.5bn, up 66.8% US$81.1bn, which represents a 6.3% increase Health Holdings for US$12.9bn. The combined seeing an increase to nearly US$50 per by value compared to 96 from 358 deals worth US$76.3bn YTD 2015. value of the three Business Services deals in barrel in May, it is still significantly below deals worth US$24.3bn in The top buyout transaction, which was also the top five global transactions for May 2016 the US$80-90 per barrel range of 2014, May ’15 an exit, was Hellman & Friedman, Leonard was US$28.9bn, which equates to 76.2% of and below the US$55-65 per barrel range Green & Partners, and GIC Private Limited’s the US$37.9bn Business Services total across of early 2015. According to Mergermarket acquisition of an undisclosed majority stake 133 deals. However, it is perhaps worth noting intelligence, EMU M&A “…will accelerate Top Financial Adviser in MultiPlan for US$7.5bn, the fourth-largest that Business Services recorded 84 deals with in the second half of 2016 as oil and gas Goldman Sachs ranked deal globally. undisclosed values, compared to EMU’s 16. companies adopt a lower-for-longer first with 18 deals worth outlook and bring quality assets to market.” US$69.5bn, compared Energy, Mining & Utilities (EMU) was the North America was the region with the Therefore, as overall M&A activity continues to 30 deals worth top sector of May 2016 with 80 deals worth highest market share of global M&A’s by to cool globally in 2016, EMU’s increasingly US$149.0bn in May ’15 US$40.5bn, which showed an increase value (48.1%) with US$108bn in 351 deals. attractive valuations could prove to be the in value by 66.8% despite 16 fewer deals Conversely, Europe had 51 more deals, yet dealmaking world’s lifeblood. compared to May 2015, which had seen 96 less than half of the North American value Top Legal Adviser deals worth US$24.3bn. EMU’s total value (US$46bn). Notably, of the top 10 deals, six Sullivan & Cromwell was boosted by the second-largest deal of had US target companies, while seven had US ranked first with 9 deals the month coming from that sector – US- bidders. China, despite keeping last month’s worth US$42.1bn, based Great Plains Energy’s acquisition of momentum and having had a record year thus compared to 12 deals worth US-based Westar Energy for US$12.1bn. far in 2016 for cross-border M&A, has been US$62.7bn in May ’15
GLOBAL 4 NORTH C&S MIDDLE EAST ASIA- ABOUT CONTACT OVERVIEW EUROPE JAPAN AMERICA AMERICA & AFRICA PACIFIC MERRILL MERRILL TREND GRAPHS
GLOBAL M&A TREND GLOBAL PRIVATE EQUITY TREND
4,500 18,000 600 3,000
4,000 16,000
500 2,500
3,500 US$ 14,000 1,206.0bn
3,000 12,000 400 2,000 US$ 868.5bn Number of deals Number of deals 2,500 10,000 US$ 1,028.5bn 300 1,500 US$ 2,000 US$ US$ 8,000 US$ Value (US$bn) Value 479.2bn US$ (US$bn) Value 757.5bn 573.3bn 855.2bn 525.4bn US$ US$ 6,000 461.2bn 1,500 200 US$ 1,000 599.6bn US$ US$ US$ US$ 402.3bn 388.9bn 522.9bn 645.1bn 1,048.8bn US$ US$ US$ 336.6bn US$ 4,000 US$ US$ 317.5bn US$ 1,000 US$ 963.8bn 293.0bn US$ 282.9bn 277.3bn 288.3bn 586.3bn US$ 442.6bn US$ 100 500 565.5bn 559.4bn US$ 2,000 500 US$ 161.9bn US$ 131.1bn US$ US$ US$ US$ US$ 758.3bn 614.6bn 566.5n 629.5bn 464.8bn 446.9bn 0 0 0 0 2011 2012 2013 2014 2015 YTD 2016 2011 2012 2013 2014 2015 YTD 2016
Q1 Q2 Q3 Q4 Volume Buyout value Exit value Buyout volume Exit Volume
GLOBAL 5 NORTH C&S MIDDLE EAST ASIA- ABOUT CONTACT OVERVIEW EUROPE JAPAN AMERICA AMERICA & AFRICA PACIFIC MERRILL MERRILL TREND GRAPHS
REGIONAL BREAKDOWN AS A PROPORTION OF GLOBAL TOTAL M&A VALUE GLOBAL M&A SECTOR BREAKDOWN MAY 2016
Energy, Mining & Utilities Value: US$40.5bn Number of deals: 80 Market share: 18.0% Europe North America US$46.0bn US$108.0bn 402 deals 351 deals 20.5% Business Services 48.1% Value: US$37.9bn Asia-Pacific Number of deals: 133 (excluding Japan) Japan US$56.0bn Market share: 16.9% US$8.4bn 236 deals 27 deals 24.9% 3.7% Industrials & Chemicals Africa & Value: US$27.1bn Middle East Number of deals: 220 US$4.4bn Market share: 12.0% C&S America 20 deals US$1.7bn 2.0% 18 deals 0.8% Technology Value: US$22.3bn Number of deals: 143 Market share: 9.9%
Key Real Estate Region Value: US$17.9bn Value Value % Value Up/Down Number of deals: 14 (US$bn) change Volume Value market share Market share: 8.0% Cross-border $56.4 48.4% Domestic $161.4 38.7%
GLOBAL 6 NORTH C&S MIDDLE EAST ASIA- ABOUT CONTACT OVERVIEW EUROPE JAPAN AMERICA AMERICA & AFRICA PACIFIC MERRILL MERRILL TOP DEALS
TOP 10 ANNOUNCED DEALS FOR MAY 2016
Deal value Deal value Deal value Deal value Deal value US$12.9bn US$12.1bn US$8.5bn US$7.5bn US$6.8bn
Announced Announced Announced Announced Announced 03-May-16 31-May-16 24-May-16 05-May-16 23-May-16 Bidder company Bidder company Bidder company Bidder company Bidder company Quintiles Transnational Holdings Inc Great Plains Energy Inc Computer Sciences Corporation Hellman & Friedman LLC; Leonard Green Maanshan Dingtai Rare Earth & New Target company Target company Target company & Partners LP; and GIC Private Limited Materials Co Ltd IMS Health Holdings Inc Westar Energy Inc Hewlett Packard Enterprise Services Target company Target company Dominant sector Dominant sector Seller company MultiPlan Inc SF Holding (Group) Co Ltd Business Services Energy, Mining & Utilities Hewlett Packard Enterprise Company Seller company Seller company Sell-side Financial Adviser Sell-side Financial Adviser Dominant sector Partners Group Holding AG; and An investor group led by Wang Wei Goldman Sachs Guggenheim Partners Business Services Starr Investment Holdings LLC (Private investor) Sell-side Legal Adviser Sell-side Legal Adviser Sell-side Financial Adviser Dominant sector Dominant sector Cleary Gottlieb Steen & Hamilton; Morris Baker Botts; and Gibson Dunn & Crutcher Goldman Sachs Business Services Transportation Nichols Arsht & Tunnell; and Weil Gotshal & Buy-side Financial Adviser Sell-side Legal Adviser Sell-side Financial Adviser Buy-side Financial Adviser Manges (Advising FA: Sullivan & Cromwell) Goldman Sachs Gibson Dunn & Crutcher (Advising FA: JPMorgan China Merchants Securities; CITIC Securities; and Huatai United Securities Buy-side Financial Adviser Buy-side Legal Adviser Sullivan & Cromwell) Sell-side Legal Adviser Barclays Bracewell (Advising FA: Sullivan & Cromwell) Buy-side Financial Adviser Fried Frank Harris Shriver & Jacobson; and Buy-side Legal Adviser Buy-side Legal Adviser RBC Capital Markets Kirkland & Ellis Grandall Law Firm Bryan Cave; Simpson Thacher & Bartlett; Buy-side Legal Adviser Buy-side Financial Adviser Smith, Anderson, Blount, Dorsett, Mitchell Allen & Overy Barclays; and Goldman Sachs & Jernigan; and White & Case (Advising FA: Buy-side Legal Adviser Shearman & Sterling) Simpson Thacher & Bartlett
GLOBAL 7 NORTH C&S MIDDLE EAST ASIA- ABOUT CONTACT OVERVIEW EUROPE JAPAN AMERICA AMERICA & AFRICA PACIFIC MERRILL MERRILL TOP DEALS
TOP 10 ANNOUNCED DEALS FOR MAY 2016
Deal value Deal value Deal value Deal value Deal value US$5.7bn US$5.6bn US$4.6bn US$4.5bn US$4.4bn
Announced Announced Announced Announced Announced 13-May-16 25-May-16 19-May-16 16-May-16 30-May-16 Bidder company Bidder company Bidder company Bidder company Bidder company Wanda Cinema Line Co Ltd New York REIT Inc FMC Technologies Inc Pfizer Inc Dalian Wanda Group Target company Target company Target company Target company Target company Wanda Media Co Ltd JBG Companies Technip SA Anacor Pharmaceuticals Inc Dalian Wanda Commercial Properties Co Ltd Seller company Dominant sector Dominant sector Dominant sector Dominant sector An investor group led by Beijing Wanda Real Estate Energy, Mining & Utilities Pharma, Medical & Biotech Real Estate Investment Co Ltd Sell-side Financial Adviser Sell-side Financial Adviser Sell-side Financial Adviser Buy-side Financial Adviser Dominant sector Bank of America Merrill Lynch; and Goldman Sachs; and Rothschild Citi China International Capital Media Morgan Stanley Sell-side Legal Adviser Sell-side Legal Adviser Buy-side Legal Adviser Buy-side Financial Adviser Sell-side Legal Adviser Darrois Villey Maillot Brochier; Davis Polk & Davis Polk & Wardwell (Advising FA: Slaughter and May) China International Capital Hogan Lovells International Wardwell (Advising FA: Sullivan & Cromwell) Buy-side Financial Adviser Buy-side Legal Adviser Buy-side Financial Adviser Buy-side Financial Adviser Centerview Partners; and Guggenheim Jingtian & Gongcheng Wells Fargo Securities Evercore Partners; and Societe Generale Partners Buy-side Legal Adviser Buy-side Legal Adviser Buy-side Legal Adviser Debevoise & Plimpton; Proskauer Rose; Latham & Watkins (Advising FA: Sidley Austin) Wachtell, Lipton, Rosen & Katz and Venable
GLOBAL 8 NORTH C&S MIDDLE EAST ASIA- ABOUT CONTACT OVERVIEW EUROPE JAPAN AMERICA AMERICA & AFRICA PACIFIC MERRILL MERRILL LEAGUE TABLES
TOP 20 GLOBAL FINANCIAL ADVISERS TOP 20 GLOBAL FINANCIAL ADVISERS
VALUE VOLUME
Ranking May 2016 May 2015 Ranking XX 0XX May 2015 Value Value % Val. Value Deal count May 2016 May 2015 Company Name Deal count May 2016 May 2015 Company Name Deal count Deal count (US$m) (US$m) Change (US$m) Change 1 1 Goldman Sachs 61,495 18 149,049 -58.7% 1 7 Rothschild 11,210 20 23 -3 2 6 Morgan Stanley 30,621 19 117,547 -73.9% 2 4 Morgan Stanley 30,621 19 29 -10 3 11 Barclays 26,176 14 59,438 -56.0% 3 3 Goldman Sachs 61,495 18 30 -12 4 8 JPMorgan 25,256 15 85,343 -70.4% 4 11 Citi 15,596 17 17 0 5 64 RBC Capital Markets 17,528 13 1,122 1,462.2% 5 5 JPMorgan 25,256 15 26 -11 6 9 Guggenheim Partners 17,314 5 83,713 -79.3% 6 1 PwC 64 15 49 -34 7 3 Credit Suisse 15,735 14 140,803 -88.8% 7 19 Barclays 26,176 14 11 3 8 4 Citi 15,596 17 138,282 -88.7% 8 6 Credit Suisse 15,735 14 25 -11 9 163 China International Capital 13,972 6 128 10,815.6% 9 43 RBC Capital Markets 17,528 13 5 8 10 37 CITIC Securities 12,334 5 3,510 251.4% 10 21 Evercore Partners 10,724 13 9 4 11 54 Wells Fargo Securities 12,010 8 1,404 755.4% 11 12 Deutsche Bank 11,423 12 15 -3 12 13 Deutsche Bank 11,423 12 50,825 -77.5% 12 18 Jefferies 4,136 12 12 0 13 2 Bank of America Merrill Lynch 11,378 7 141,048 -91.9% 13 10 Deloitte 1,804 12 18 -6 14 21 Rothschild 11,210 20 11,499 -2.5% 14 2 KPMG 925 12 44 -32 15 12 Evercore Partners 10,724 13 51,907 -79.3% 15 52 Lincoln International 906 12 4 8 16 - Huatai United Securities 9,923 4 - - 16 25 UBS Investment Bank 7,681 10 8 2 17 16 UBS Investment Bank 7,681 10 16,344 -53.0% 17 14 Nomura Holdings 6,891 10 13 -3 18 22 Nomura Holdings 6,891 10 8,875 -22.4% 18 9 Lazard 5,855 10 18 -8 19 243 China Merchants Securities Co 6,760 1 19 35,478.9% 19 17 Houlihan Lokey 1,786 10 12 -2 20 19 Lazard 5,855 10 11,549 -49.3% 20 37 Stifel/KBW 1,093 10 6 4
GLOBAL 9 NORTH C&S MIDDLE EAST ASIA- ABOUT CONTACT OVERVIEW EUROPE JAPAN AMERICA AMERICA & AFRICA PACIFIC MERRILL MERRILL LEAGUE TABLES
TOP 20 GLOBAL LEGAL ADVISERS TOP 20 GLOBAL LEGAL ADVISERS
VALUE VOLUME
Ranking May 2016 May 2015 Ranking May 2016 May 2015 Value Value % Val. Value Deal count May 2016 May 2015 Company Name Deal count May 2016 May 2015 Company Name Deal count Deal count (US$m) (US$m) Change (US$m) Change 1 10 Sullivan & Cromwell 42,089 9 62,674 -32.8% 1 5 Kirkland & Ellis 12,399 23 28 -5 2 24 Gibson Dunn & Crutcher 22,366 10 24,482 -8.6% 2 1 DLA Piper 4,340 23 41 -18 3 26 Simpson Thacher & Bartlett 20,157 8 22,492 -10.4% 3 4 Latham & Watkins 14,688 20 28 -8 4 15 Davis Polk & Wardwell 18,658 11 42,902 -56.5% 4 3 White & Case 17,277 18 33 -15 5 13 Shearman & Sterling 17,542 5 48,182 -63.6% 5 13 Hogan Lovells International 7,941 18 19 -1 6 6 White & Case 17,277 18 101,567 -83.0% 6 6 Jones Day 5,790 16 28 -12 7 27 Baker Botts 16,996 4 19,633 -13.4% 7 2 Skadden Arps Slate Meagher & Flom 12,948 13 33 -20 8 31 Weil Gotshal & Manges 16,487 12 13,827 19.2% 8 22 Freshfields Bruckhaus Deringer 7,748 13 14 -1 9 3 Latham & Watkins 14,688 20 128,241 -88.5% 9 16 Weil Gotshal & Manges 16,487 12 17 -5 Smith, Anderson, Blount, Dorsett, 10 7 Linklaters 9,882 12 24 -12 10 - 14,508 3 - - Mitchell & Jernigan 11 9 Clifford Chance 6,836 12 22 -10 11 46 Cleary Gottlieb Steen & Hamilton 14,030 5 8,190 71.3% 12 34 Davis Polk & Wardwell 18,658 11 10 1 12 62 Bracewell 13,582 3 5,950 128.3% 13 80 Sidley Austin 11,233 11 6 5 13 85 Morris Nichols Arsht & Tunnell 13,370 3 2,261 491.3% 14 11 Allen & Overy 11,199 11 21 -10 14 377 Bryan Cave 13,252 2 22 60,136.4% 15 21 Paul Weiss Rifkind Wharton & Garrison 5,714 11 14 -3 15 1 Skadden Arps Slate Meagher & Flom 12,948 13 193,019 -93.3% 16 17 King & Wood Mallesons 3,766 11 17 -6 16 7 Kirkland & Ellis 12,399 23 97,124 -87.2% 17 29 Cooley 1,977 11 12 -1 17 37 Cravath, Swaine & Moore 12,178 7 9,508 28.1% 18 53 Gibson Dunn & Crutcher 22,366 10 7 3 18 144 Sidley Austin 11,233 11 658 1,607.1% 19 43 Mori Hamada & Matsumoto 8,710 10 9 1 19 5 Wachtell, Lipton, Rosen & Katz 11,201 6 106,059 -89.4% 20 26 Sullivan & Cromwell 42,089 9 12 -3 20 58 Allen & Overy 11,199 11 6,700 67.1%
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North American M&A saw 350 deals in May worth US$108bn, down 49.4% by value compared to Key Stats the same period the year prior (US$213.5bn, 428 deals). The US accounted for 93.6% of the region’s value with 314 deals worth US$101.1bn, while Canada only had 36 deals worth US$6.9bn. To date, North America has had only 1,944 deals this year worth US$466.3bn. It was the lowest year-to-date 350 deals valued at US$108.0bn, down 49.4% by value with 78 fewer (YTD) value since 2013, which only had 1,746 deals worth US$339.4bn; additionally, YTD 2016 was deals compared to 428 deals worth down 27.6% compared to YTD 2015 (US$643.8bn, 2,355 deals). US$213.5bn in May ’15
In what is expected be a year for buyouts 93.2% of the sector’s total value and 26.8% made 41 acquisitions worth US$32.6bn, the with private equity firms sitting on large of that of North America overall. This is due highest on Mergermarket record. Moreover Top sector cash amounts, May saw 71 deals worth primarily to Quintiles Transnational Holdings’ for the month, there were 302 domestic Business Services saw US$14.7bn, up 170.4% by value compared US$12.98bn acquisition of IMS Health transactions valued at US$96.7bn, down 39% 48 deals worth US$31.0bn, to May 2015 (US$5.4bn, 76 deals), due in Holdings, Computer Sciences’ US$8.5bn by value compared to May 2015 (US$158.6bn, up 400.1% by value large part to Hellman & Friedman, Leonard acquisition of Hewlett Packard Enterprise 346 deals), while outbound activity remained compared to 56 deals Green & Partners, and GIC Private Limited Services, and the aforementioned US$7.5bn relatively flat with 83 deals worth US$15.4bn, worth US$6.2bn in May ’15 acquiring an undisclosed majority stake in buy-in of MultiPlan, making May 2016 the up 5.2% by value compared to the year prior MultiPlan for US$7.5bn. YTD, North America highest-valued May in Mergermarket history (US$14.6bn, 107 deals). had 373 buyouts valued at US$62.3bn, which (since 2001). Top Financial Adviser was up 19.2% by value compared to YTD 2015 Just before the midway point for the year, Goldman Sachs ranked (US$52.3bn, 388 deals). Exits in May saw 76 What has been startling is the decrease M&A in North America seems to be slowing first with 12 deals worth deals worth US$20bn, down 8.6% compared in cross-border M&A: inbound deals in down from the blistering pace of 2015. US$50.0bn, compared to May 2015 (US$21.9bn, 70 deals). Exits May (US$10.5bn, 60 deals) dropped 80.4% The year is currently on track to becoming to 16 deals worth YTD saw 335 deals worth US$40.3bn, down compared to May 2015 (US$53.2bn, 54 deals). the lowest-valued year for M&A in North US$125.3bn in May ’15 58.9% compared to YTD 2015 (US$98.1bn, Inbound activity has also been on a steady America since 2013 (US$976.8bn, 4,609 384 deals). decline in value since March (US$17.6bn, deals). With the exception of private equity 66 deals) of this year. Surprisingly, Germany buyouts, total M&A values appear to be Top Legal Adviser Business Services was the top sector for the was the most acquisitive country by value trending down for 2016 in comparison to Sullivan & Cromwell month of May with 48 deals worth US$31bn, with four deals worth US$3.8bn, while the the record-breaking past two years. ranked first with 7 deals up 400.1% by value compared to May 2015 UK was the most acquisitive by volume with worth US$38.9bn, (US$6.2bn, 56 deals). The sector had three of 11 deals worth US$1.6bn in May. Meanwhile, compared to 10 deals the top four deals in North America, valued China acquired six North American targets in worth US$62.3bn in collectively at US$28.9bn, and accounting for May for US$183m; however, YTD, China has May ’15
13 NORTH GLOBAL C&S MIDDLE EAST ASIA- ABOUT CONTACT AMERICA EUROPE JAPAN OVERVIEW AMERICA & AFRICA PACIFIC MERRILL MERRILL TREND GRAPHS
NORTH AMERICA M&A TREND NORTH AMERICA PRIVATE EQUITY TREND
2,200 6,000 300 1,200
2,000
5,000 250 1,000 1,800 US$ 551.5bn
1,600
4,000 200 800800 1,400 US$ Number of deals 375.2bn Number of deals 1,200 US$ 620.6bn 3,000 150 US$ 600 1,000 287.7bn Value (US$bn) Value Value (US$bn) Value US$ US$ US$ US$ US$ 249.5bn 453.7bn 800 213.3bn 348.0bn 232.9bn 2,000 100 400 US$ US$ 600 US$ 508.6bn US$ US$ US$ 226.4bn 174.0bn US$ US$ 336.9bn US$ US$ 169.6bn 162.6bn US$ 160.9bn 264.0bn US$ 149.0bn 142.6bn 131.3bn 400 US$ 414.6bn US$ US$ 1,000 50 111.0bn 200 218.7bn US$ 200.9bn US$ US$ 208.5bn 193.8bn US$ US$ 72.9bn 200 61.9bn US$ US$ 365.0bn US$ US$ US$ 265.2bn 234.5bn 265.4bn 164.6n 196.7bn 0 0 0 0 2011 2012 2013 2014 2015 YTD 2016 2011 2012 2013 2014 2015 YTD 2016
Q1 Q2 Q3 Q4 Volume Buyout value Exit value Buyout volume Exit Volume
14 NORTH GLOBAL C&S MIDDLE EAST ASIA- ABOUT CONTACT AMERICA EUROPE JAPAN OVERVIEW AMERICA & AFRICA PACIFIC MERRILL MERRILL TREND GRAPHS
COUNTRY BREAKDOWN AS A PROPORTION OF NORTH AMERICA TOTAL M&A VALUE NORTH AMERICA M&A SECTOR BREAKDOWN MAY 2016
Business Services Value: US$31.0bn Number of deals: 48 Market share: 28.8%
Energy, Mining & Utilities Value: US$22.3bn Number of deals: 39 Market share: 20.6%
Canada US$6.9bn 36 deals Technology 6.4% Value: US$12.1bn Number of deals: 55 Market share: 11.2%
Pharma, Medical & Biotech Value: US$9.0bn Number of deals: 32 United States Market share: 8.3% US$101.1bn 314 deals Key 93.6% Industrials & Chemicals Value Value % Up/Down Region (US$bn) change Value: US$7.7bn Value Number of deals: 56 Domestic $96.7 39.0% Volume Value market share Market share: 7.1% Inbound $10.4 80.4% Outbound $15.4 5.2%
15 NORTH GLOBAL C&S MIDDLE EAST ASIA- ABOUT CONTACT AMERICA EUROPE JAPAN OVERVIEW AMERICA & AFRICA PACIFIC MERRILL MERRILL TOP DEALS
TOP 10 ANNOUNCED DEALS FOR MAY 2016
Deal value Deal value Deal value Deal value Deal value US$12.9bn US$12.1bn US$8.5bn US$7.5bn US$5.6bn
Announced Announced Announced Announced Announced 03-May-16 31-May-16 24-May-16 05-May-16 25-May-16 Bidder company Bidder company Bidder company Bidder company Bidder company Quintiles Transnational Holdings Inc Great Plains Energy Inc Computer Sciences Corporation Hellman & Friedman LLC; Leonard Green New York REIT Inc Target company Target company Target company & Partners LP; and GIC Private Limited Target company IMS Health Holdings Inc Westar Energy Inc Hewlett Packard Enterprise Services Target company JBG Companies Dominant sector Dominant sector Seller company MultiPlan Inc Dominant sector Business Services Energy, Mining & Utilities Hewlett Packard Enterprise Compan Seller company Real Estate Sell-side Financial Adviser Sell-side Financial Adviser Dominant sector Partners Group Holding AG; and Starr Sell-side Financial Adviser Goldman Sachs Guggenheim Partners Business Services Investment Holdings LLC Bank of America Merrill Lynch; and Sell-side Legal Adviser Sell-side Legal Adviser Sell-side Financial Adviser Dominant sector Morgan Stanley Cleary Gottlieb Steen & Hamilton; Morris Baker Botts; and Gibson Dunn & Crutcher Goldman Sachs Business Services Sell-side Legal Adviser Nichols Arsht & Tunnell; and Weil Gotshal & Buy-side Financial Adviser Sell-side Legal Adviser Sell-side Financial Adviser Hogan Lovells International Manges (Advising FA: Sullivan & Cromwell) Goldman Sachs Gibson Dunn & Crutcher (Advising FA: JPMorgan Buy-side Financial Adviser Buy-side Financial Adviser Buy-side Legal Adviser Sullivan & Cromwell) Sell-side Legal Adviser Wells Fargo Securities Barclays Bracewell (Advising FA: Sullivan & Cromwell) Buy-side Financial Adviser Kirkland & Ellis; and Fried Frank Harris Buy-side Legal Adviser Buy-side Legal Adviser RBC Capital Markets Shriver & Jacobson Debevoise & Plimpton Bryan Cave; Simpson Thacher & Bartlett; Buy-side Legal Adviser Buy-side Financial Adviser Smith, Anderson, Blount, Dorsett, Mitchell Allen & Overy Barclays; and Goldman Sachs & Jernigan; and White & Case (Advising FA: Buy-side Legal Adviser Shearman & Sterling) Simpson Thacher & Bartlett
16 NORTH GLOBAL C&S MIDDLE EAST ASIA- ABOUT CONTACT AMERICA EUROPE JAPAN OVERVIEW AMERICA & AFRICA PACIFIC MERRILL MERRILL TOP DEALS
TOP 10 ANNOUNCED DEALS FOR MAY 2016
Deal value Deal value Deal value Deal value Deal value US$4.5bn US$4.4bn US$4.0bn US$3.8bn US$3.7bn
Announced Announced Announced Announced Announced 16-May-16 16-May-16 27-May-16 06-May-16 23-May-16 Bidder company Bidder company Bidder company Bidder company Bidder company Pfizer Inc Range Resources Corporation Thermo Fisher Scientific Inc Evonik Industries AG Ares Capital Corporation Target company Target company Target company Target company Target company Anacor Pharmaceuticals Inc Memorial Resource Development Corp FEI Company Air Products (Performance Material Division) American Capital Ltd Dominant sector Seller company Dominant sector Seller company Dominant sector Pharma, Medical & Biotech Natural Gas Partners LLC Technology Air Products and Chemicals Inc Financial Services Sell-side Financial Adviser Dominant sector Sell-side Financial Adviser Dominant sector Sell-side Financial Adviser Citi Energy, Mining & Utilities Goldman Sachs Industrials & Chemicals Credit Suisse; Goldman Sachs; and Sell-side Legal Adviser Sell-side Financial Adviser Sell-side Legal Adviser Sell-side Financial Adviser JPMorgan Davis Polk & Wardwell Barclays; and Morgan Stanley Wilson Sonsini Goodrich & Rosati JPMorgan; and Lazard Sell-side Legal Adviser Buy-side Financial Adviser Sell-side Legal Adviser (Advising FA: Shearman & Sterling) Sell-side Legal Adviser Jones Day; and Skadden Arps Slate Centerview Partners; and Guggenheim Akin Gump Strauss Hauer & Feld Buy-side Financial Adviser Drew & Napier; and Skadden Arps Slate Meagher & Flom (Advising FA: Cravath, Swaine & Moore) Partners Buy-side Financial Adviser JPMorgan Meagher & Flom Buy-side Legal Adviser Credit Suisse Buy-side Legal Adviser Buy-side Financial Adviser Buy-side Financial Adviser Wachtell, Lipton, Rosen & Katz Wachtell, Lipton, Rosen & Katz (Advising FA: The Valence Group Bank of America Merrill Lynch; and Buy-side Legal Adviser Wells Fargo Securities Sidley Austin (Advising FA: Alston & Bird) Cravath, Swaine & Moore) Buy-side Legal Adviser McDermott Will & Emery Buy-side Legal Adviser Latham & Watkins; Proskauer Rose; Sutherland Asbill & Brennan; and Willkie Farr & Gallagher
17 NORTH GLOBAL C&S MIDDLE EAST ASIA- ABOUT CONTACT AMERICA EUROPE JAPAN OVERVIEW AMERICA & AFRICA PACIFIC MERRILL MERRILL LEAGUE TABLES
TOP 20 NORTH AMERICA FINANCIAL ADVISERS TOP 20 NORTH AMERICA FINANCIAL ADVISERS
VALUE VOLUME
Ranking May 2016 May 2015 Ranking May 2016 May 2015 Value Value % Val. Value Deal count May 2016 May 2015 Company Name Deal count May 2016 May 2015 Company Name Deal count Deal count (US$m) (US$m) Change (US$m) Change 1 3 Goldman Sachs 49,984 12 125,296 -60.1% 1 2 Goldman Sachs 49,984 12 16 -4 2 11 Barclays 25,625 11 58,181 -56.0% 2 28 RBC Capital Markets 16,605 12 4 8 3 10 JPMorgan 21,751 11 70,135 -69.0% 3 7 Citi 13,362 12 11 1 4 8 Guggenheim Partners 17,314 5 83,713 -79.3% 4 11 Barclays 25,625 11 8 3 5 33 RBC Capital Markets 16,605 12 1,100 1,409.5% 5 4 JPMorgan 21,751 11 14 -3 6 7 Morgan Stanley 16,068 8 86,824 -81.5% 6 10 Evercore Partners 9,609 11 9 2 7 1 Citi 13,362 12 135,835 -90.2% 7 1 Credit Suisse 11,697 9 18 -9 8 30 Wells Fargo Securities 12,010 8 1,404 755.4% 8 18 Rothschild 5,810 9 6 3 9 5 Credit Suisse 11,697 9 122,689 -90.5% 9 5 Morgan Stanley 16,068 8 13 -5 10 2 Bank of America Merrill Lynch 11,378 7 128,729 -91.2% 10 36 Wells Fargo Securities 12,010 8 3 5 11 12 Evercore Partners 9,609 11 51,907 -81.5% 11 12 Jefferies 2,860 8 8 0 12 37 Rothschild 5,810 9 1,033 462.4% 12 6 Houlihan Lokey 1,786 8 12 -4 13 14 Lazard 5,256 6 8,966 -41.4% 13 19 Stifel/KBW 1,016 8 6 2 14 42 CIBC World Markets 4,931 2 850 480.1% 14 57 Lincoln International 906 8 2 6 15 4 Centerview Partners 4,919 2 122,800 -96.0% 15 15 Raymond James & Associates 740 8 7 1 16 - Societe Generale 4,769 2 - - 16 9 Bank of America Merrill Lynch 11,378 7 9 -2 17 28 BMO Capital Markets 4,711 5 1,709 175.7% 17 8 Deutsche Bank 4,508 7 11 -4 18 13 Deutsche Bank 4,508 7 48,224 -90.7% 18 14 Lazard 5,256 6 7 -1 19 - The Valence Group 3,800 1 - - SunTrust Robinson Humphrey Capital 19 16 2,296 6 7 -1 Markets 20 29 TD Securities 3,591 3 1,623 121.3% 20 22 Sandler O'Neill & Partners 484 6 5 1
18 NORTH GLOBAL C&S MIDDLE EAST ASIA- ABOUT CONTACT AMERICA EUROPE JAPAN OVERVIEW AMERICA & AFRICA PACIFIC MERRILL MERRILL LEAGUE TABLES
TOP 20 NORTH AMERICA LEGAL ADVISERS TOP 20 NORTH AMERICA LEGAL ADVISERS
VALUE VOLUME
Ranking May 2016 May 2015 Ranking May 2016 May 2015 Value Value % Val. Value Deal count May 2016 May 2015 Company Name Deal count May 2016 May 2015 Company Name Deal count Deal count (US$m) (US$m) Change (US$m) Change 1 10 Sullivan & Cromwell 38,894 7 62,251 -37.5% 1 4 Kirkland & Ellis 11,476 21 25 -4 2 19 Gibson Dunn & Crutcher 21,574 8 24,482 -11.9% 2 3 Latham & Watkins 13,371 15 25 -10 3 21 Simpson Thacher & Bartlett 20,157 8 22,003 -8.4% 3 2 Skadden Arps Slate Meagher & Flom 12,753 12 25 -13 4 11 Davis Polk & Wardwell 17,543 9 42,902 -59.1% 4 5 Jones Day 5,569 12 21 -9 5 12 Shearman & Sterling 17,347 3 40,466 -57.1% 5 1 DLA Piper 2,530 12 26 -14 6 22 Baker Botts 16,996 4 19,633 -13.4% 6 6 White & Case 16,282 10 19 -9 7 5 White & Case 16,282 10 97,561 -83.3% 7 25 Weil Gotshal & Manges 15,439 10 8 2 8 25 Weil Gotshal & Manges 15,439 10 11,229 37.5% 8 9 Paul Weiss Rifkind Wharton & Garrison 2,396 10 14 -4 Smith, Anderson, Blount, Dorsett, 9 11 Cooley 1,805 10 12 -2 9 - 14,508 3 - - Mitchell & Jernigan 10 16 Davis Polk & Wardwell 17,543 9 10 -1 10 3 Latham & Watkins 13,371 15 128,118 -89.6% 11 37 Gibson Dunn & Crutcher 21,574 8 6 2 11 59 Morris Nichols Arsht & Tunnell 13,370 3 2,261 491.3% 12 43 Simpson Thacher & Bartlett 20,157 8 5 3 12 212 Bryan Cave 13,252 2 22 60,136.4% 13 31 Blake, Cassels & Graydon 4,139 8 7 1 13 50 Cleary Gottlieb Steen & Hamilton 12,912 2 4,621 179.4% 14 14 Goodwin Procter 1,654 8 11 -3 14 1 Skadden Arps Slate Meagher & Flom 12,753 12 156,268 -91.8% 15 15 Sullivan & Cromwell 38,894 7 10 -3 15 46 Bracewell 12,117 1 5,950 103.6% 16 21 Hogan Lovells International 7,610 7 9 -2 16 27 Cravath, Swaine & Moore 11,631 6 9,508 22.3% 17 22 Willkie Farr & Gallagher 4,775 7 9 -2 17 6 Kirkland & Ellis 11,476 21 96,773 -88.1% 18 30 Ropes & Gray 756 7 7 0 18 49 Allen & Overy 10,349 4 4,685 120.9% 19 38 Cravath, Swaine & Moore 11,631 6 6 0 19 31 Proskauer Rose 9,498 5 8,492 11.8% 20 50 Debevoise & Plimpton 8,738 6 5 1 20 7 Wachtell, Lipton, Rosen & Katz 9,059 5 94,738 -90.4%
19 NORTH GLOBAL C&S MIDDLE EAST ASIA- ABOUT CONTACT AMERICA EUROPE JAPAN OVERVIEW AMERICA & AFRICA PACIFIC MERRILL MERRILL C&S AMERICA C&S AMERICA
Latin American M&A activity has been spiraling downward as dim economic prospects continue to Key Stats hang over the region amidst increasing political turmoil. In May, the region saw a total of 18 deals worth US$1.7bn, making it the lowest value for the month of May since 2003. Compared to the same period last year (US$5.6bn, 44 deals), total deal value dropped by 69.1% with 26 fewer deals. 18 deals valued at US$1.7bn, down 69.1% by value with 26 fewer deals compared to 44 deals worth US$5.6bn Private equity buyouts, with three deals worth value by almost 76.3%, was the acquisition with only four deals worth US$10m, down in May ’15 US$500m, experienced a slight increase of a 67.2% stake in Petrobras Argentina by by 99.5% compared to the same period last compared to May of last year, which did not the Argentina-based electricity company year with 23 deals worth US$2.2bn. Political record any buyouts. Exits, on the other hand, Pampa Energia from the Brazil-based energy crises and financial difficulties swaying over Top sector did not provide any records for the month company Petroleo Brasilerio. Brazil are likely to continue to substantially Energy, Mining & Utilities of May. influence M&A activity in the region, making saw 3 deals worth Consumer was the second-largest sector in it even less attractive for investors. US$1.0bn, down 27.1% by May’s M&A activity in Latin America was May with five deals worth US$502.1m and value compared to 4 deals mainly focused on domestic transactions, accounted for 28.9% of market share, up by Latin America may not experience any worth US$1.4bn in May ’15 with a total value of US$997.6m, up by almost 10-fold compared to May 2015 which major spikes upward in M&A activity in the 179.6% compared to the same period last had six deals worth US$47m. Southern upcoming months, as long as Brazil, the year. Foreign companies did not show much Cross Group’s acquisition of Petrobras Chile most influential economy in the region, fails Top Financial Adviser of an interest in acquiring regional assets in Distribution for US$490m was the primary to undertake significant regulatory changes Banco Itau BBA ranked May, with inbound activity falling by 99% and contributor, which increased the Consumer needed to improve its financial and political first with 2 deals worth totaling only US$51m in value. Outbound sector’s total value by 97.6%. The sale of prospects. Additionally, external factors, US$1.3bn, compared to activity, meanwhile, reached US$246m, assets in Petrobras, which has been the including low commodity prices, currency 3 deals worth US$1.2bn increasing 100% compared to the same epicenter of Brazil’s political scandals devaluations, rising interest rates in the US, in May ’15 period in 2015. in recent years, contributed significantly and China’s slowdown could further affect to Latin American M&A activity in May. Brazil’s economic performance, and the Energy, Mining & Utilities (EMU) was the According to Mergermarket intelligence, whole region. Top Legal Adviser dominant sector in the past month with three Petroleo Brasileiro aims to raise US$15bn Bracewell and Davis deals valued at US$1bn, down by 27.1% through asset sales by the end of the year. Polk & Wardwel ranked compared to the same period last year, which first with 1 deal worth had four transactions worth US$1.4bn. The Argentina dominated the region with four US$765m EMU sector accounted for 57.6% of the total deals valued at US$1.2bn, accounting for Latin American market share. The driving 68.9% of the market share. For Brazil, May transaction, which increased EMU’s deal has been the lowest-valued month since 2004
21 C&S GLOBAL NORTH MIDDLE EAST ASIA- ABOUT CONTACT AMERICA EUROPE JAPAN OVERVIEW AMERICA & AFRICA PACIFIC MERRILL MERRILL TREND GRAPHS
C&S AMERICA M&A TREND C&S AMERICA PRIVATE EQUITY TREND
700 150 12 70
600 60 10 US$ 120 US$ 28.8bn 28.5bn
500 50 US$ 32.4bn 8 Number of deals 90 Number of deals US$ 400 US$ 40 37.9bn 46.0bn US$ US$ 16.5bn 6 25.4bn US$ Value (US$bn) Value Value (US$bn) Value 300 10.5bn 30 60 US$ 23.0bn US$ US$ US$ US$ 4 23.1bn 8.4bn 8.4bn 18.8bn US$ US$ 47.1bn 39.9bn 200 US$ 20 US$ 6.8bn 23.9bn US$ 30 US$ 5.5bn 21.4bn US$ 2 US$ 5.7bn 100 US$ 10 40.4bn US$ 3.9bn US$ US$ US$ US$ 12.5bn 2.9bn 2.8bn US$ US$ 2.3bn US$ 24.8bn US$ 2.1bn 21.8bn US$ US$ 17.8bn 1.3bn US$ 11.2bn 13.3bn 1.0bn 0 0 0 0 2011 2012 2013 2014 2015 YTD 2016 2011 2012 2013 2014 2015 YTD 2016
Q1 Q2 Q3 Q4 Volume Buyout value Exit value Buyout volume Exit Volume
22 C&S GLOBAL NORTH MIDDLE EAST ASIA- ABOUT CONTACT AMERICA EUROPE JAPAN OVERVIEW AMERICA & AFRICA PACIFIC MERRILL MERRILL TREND GRAPHS
COUNTRY BREAKDOWN AS A PROPORTION OF C&S AMERICA TOTAL M&A VALUE C&S AMERICA M&A SECTOR BREAKDOWN MAY 2016
Energy, Mining & Utilities Mexico US$40.6m Value: US$1.0bn 5 deals Number of deals: 3 2.3% Market share: 57.6%
Consumer Value: US$502.1m Number of deals: 5 Market share: 28.9%
Brazil US$10.0m Industrials & Chemicals 4 deals Value: US$202.2m 0.6% Number of deals: 3 Market share: 11.6%
Construction Chile Value: US$23.1m US$490.0m Number of deals: 1 2 deals Market share: 1.3% 28.2% Argentina US$1.2bn Key 4 deals 68.9% Media Value Value % Up/Down Region (US$m) change Value: US$10.0m Value Number of deals: 2 Domestic $997.6 179.6% Volume Value market share Market share: 0.6% Inbound $51.0 99.0% Outbound $246.0 -
23 C&S GLOBAL NORTH MIDDLE EAST ASIA- ABOUT CONTACT AMERICA EUROPE JAPAN OVERVIEW AMERICA & AFRICA PACIFIC MERRILL MERRILL TOP DEALS
TOP 8 ANNOUNCED DEALS FOR MAY 2016
Deal value Deal value Deal value Deal value Deal value US$765m US$490m US$220m US$202m US$23m
Announced Announced Announced Announced Announced 03-May-16 03-May-16 31-May-16 02-May-16 03-May-16 Bidder company Bidder company Bidder company Bidder company Bidder company Pampa Energia SA Southern Cross Group Desarrolladora Energetica SA Unipar Participacoes SA Roca Sanitario SA Target company Target company Target company Target company Target company Petrobras Argentina SA (67.19% stake) Petrobras Chile Distribucion Ltda Empresa Distribuidora de Energia Norte SA; Solvay Indupa SAIC General De Ceramica, SA De CV Seller company Seller company and Empresa Distribuidora de Energia Sur SA Seller company (Sanitary porcelain division) Petroleo Brasileiro SA Petroleo Brasileiro SA Seller company Solvay SA Seller company Dominant sector Dominant sector Mr Miguel Alfredo Mendoza (Private investor) Dominant sector General De Ceramica SA De CV Energy, Mining & Utilities Consumer Dominant sector Industrials & Chemicals Dominant sector Sell-side Financial Adviser Energy, Mining & Utilities Sell-side Financial Adviser Construction Evercore Partners Buy-side Financial Adviser Lazard Sell-side Legal Adviser UBS Investment Bank Davis Polk & Wardwell (Advising FA: Bracewell) Buy-side Financial Adviser Citi
24 C&S GLOBAL NORTH MIDDLE EAST ASIA- ABOUT CONTACT AMERICA EUROPE JAPAN OVERVIEW AMERICA & AFRICA PACIFIC MERRILL MERRILL TOP DEALS
TOP 8 ANNOUNCED DEALS FOR MAY 2016
Deal value Deal value Deal value US$18m US$12m US$10m
Announced Announced Announced 11-May-16 11-May-16 17-May-16 Bidder company Bidder company Bidder company Candelaria Mining Corp Molinos Rio de la Plata SA glispa GmbH Target company Target company Target company Caballo Blanco Project Vina Cobos SA (50% stake) Mobils Seller company Dominant sector Dominant sector Timmins Gold Corp Consumer Media Dominant sector Energy, Mining & Utilities
25 C&S GLOBAL NORTH MIDDLE EAST ASIA- ABOUT CONTACT AMERICA EUROPE JAPAN OVERVIEW AMERICA & AFRICA PACIFIC MERRILL MERRILL LEAGUE TABLES
TOP 12 C&S AMERICA FINANCIAL ADVISERS TOP 12 C&S AMERICA FINANCIAL ADVISERS
VALUE VOLUME
Ranking May 2016 May 2015 Ranking May 2016 May 2015 Value Value % Val. Value Deal count May 2016 May 2015 Company Name Deal count May 2016 May 2015 Company Name Deal count Deal count (US$m) (US$m) Change (US$m) Change 1 4 Banco Itau BBA 1,255 2 1,207 4.0% 1 2 Banco Itau BBA 1,255 2 3 -1 2= 9 Citi 765 1 175 337.1% 2= 11 Citi 765 1 1 0 2= - Evercore Partners 765 1 - - 2= - Evercore Partners 765 1 - -
4 - JPMorgan 246 1 - - 4 - JPMorgan 246 1 - - 5 - UBS Investment Bank 220 1 - - 5 - UBS Investment Bank 220 1 - - 6 - Lazard 202 1 - - 6 - Lazard 202 1 - - 7= - Norgestion 174 1 - - 7= - Norgestion 174 1 - - 7= - Santander Global Banking and Markets 174 1 - - 7= - Santander Global Banking and Markets 174 1 - - 9 - Mazars 8 1 - - 9 - Mazars 8 1 - - 10= 1 Deutsche Bank 0 1 2,150 -100.0% 10= 3 Deutsche Bank 0 1 2 -1 10= - Greenhill & Co 0 1 - - 10= - Greenhill & Co 0 1 - - 10= - Moelis & Company 0 1 - - 10= - Moelis & Company 0 1 - -
26 C&S GLOBAL NORTH MIDDLE EAST ASIA- ABOUT CONTACT AMERICA EUROPE JAPAN OVERVIEW AMERICA & AFRICA PACIFIC MERRILL MERRILL LEAGUE TABLES
TOP 11 C&S AMERICA LEGAL ADVISERS TOP 11 C&S AMERICA LEGAL ADVISERS
VALUE VOLUME
Ranking May 2016 May 2015 Ranking May 2016 May 2015 Value Value % Val. Value Deal count May 2016 May 2015 Company Name Deal count May 2016 May 2015 Company Name Deal count Deal count (US$m) (US$m) Change (US$m) Change 1= - Bracewell 765 1 - - 1= - Bracewell 765 1 - - 1= - Davis Polk & Wardwell 765 1 - - 1= - Davis Polk & Wardwell 765 1 - - 3 - Andrews Kurth 246 1 - - 3 - Andrews Kurth 246 1 - -
4= - Garrigues 174 1 - - 4= - Garrigues 174 1 - - 4= - PwC legal 174 1 - - 4= - PwC legal 174 1 - - 6= 11 Baker & McKenzie 8 1 658 -98.8% 6= 18 Baker & McKenzie 8 1 1 0 6= - Gomez-Acebo & Pombo Abogados 8 1 - - 6= - Gomez-Acebo & Pombo Abogados 8 1 - - 8= - Araujo Fontes 0 1 - - 8= - Araujo Fontes 0 1 - - 8= 3 Hogan Lovells International 0 1 2,150 -100.0% 8= 14 Hogan Lovells International 0 1 1 0 8= - Miranda & Amado Abogados 0 1 - - 8= - Miranda & Amado Abogados 0 1 - - 8= 23 Pinheiro Neto Advogados 0 1 70 -100.0% 8= 27 Pinheiro Neto Advogados 0 1 1 0
27 C&S GLOBAL NORTH MIDDLE EAST ASIA- ABOUT CONTACT AMERICA EUROPE JAPAN OVERVIEW AMERICA & AFRICA PACIFIC MERRILL MERRILL EUROPE EUROPE
European M&A activity during May recorded 377 deals worth US$44.3bn, down 4.7% by value with Key Stats 157 fewer deals compared to May 2015 (534 deals, US$46.5bn). Lapsed deals have attributed to this decline of activity, with the US$15.3bn acquisition of Telefonica UK Limited by Hutchison Whampoa Limited blocked by the EU commission during May due to anti-trust concerns. Since the beginning 377 deals valued at US$44.3bn, down 4.7% by value with 157 fewer of 2016, 27 deals acquiring European targets worth US$228.8bn have lapsed, accounting for 66.5% deals compared to 534 deals worth of total global lapsed deal value (136 deals, US$334.2bn). US$46.5bn in May ’15
Europe was the leading M&A destination Uncertainty surrounding the upcoming EU activity within the region. Mergermarket Top sector for Chinese companies during May, with 13 referendum in June seems to have put a intelligence predicts more transactions Industrials & Chemicals deals worth US$7bn reaching its highest deal damper on M&A activity in the UK. To-date targeting the Industrials and Chemicals saw 89 deals worth value and count on Mergermarket record in 2016, there have been 479 deals worth sector in the upcoming months, as China’s US$10.2bn, up 161.5% (since 2001). Chinese companies’ expansion US$50.9bn announced, representing a 70% “Made in China 2025” mimics Germany’s by value compared to 106 into Europe is a growing trend, spurred by an decrease by value compared to the same “Industrial 4.0” plan, so Chinese buyers deals worth US$3.9bn in interest in picking up new technologies as well period in 2015 (584 deals, US$169.7bn), and will naturally target German automation, May ’15 as expanding their geographical footprint. its lowest year-to-date deal value since 2010 semiconductor and chemical companies. (379 deals, US$42.4bn). The most targeted sector during May in Top Financial Adviser terms of value was Industrials & Chemicals, With 51 deals worth US$8bn announced, Goldman Sachs ranked with 89 deals worth US$10.2bn increasing European outbound deal value decreased first with 6 deals worth 161.5% by value compared to May 2015 (106 58% compared to the same period last year US$13.6bn, compared deals, US$3.9bn). This rise in deal value can (63 deals, US$19.1bn). However, ongoing to 13 deals worth be attributed to the US$4.3bn acquisition of negotiations for the proposed US$61.3bn US$26.6bn in May ’15 Germany-based robotics maker KUKA AG acquisition of US-based Monsanto Company by Midea, the China-based manufacturer by Germany-based Bayer may see a surge of electrical and household appliances. of activity. Although Monsanto rejected Top Legal Adviser According to Mergermarket intelligence, Bayer’s initial all-cash offer at US$122 a Freshfields Bruckhaus this transaction comes on the heels of the share, it remains open to discuss a potential Deringer ranked first with Chinese government’s plan to remove State path forward. 11 deals worth US$7.7bn, Council approval for sensitive outbound compared to 9 deals worth deals (>US$2bn), and allow multiple Chinese Despite political headwinds on the horizon, US$8.8bn in May ’15 companies to bid for the same target. Chinese activity will continue to drive M&A
29 GLOBAL NORTH C&S EUROPE MIDDLE EAST ASIA- ABOUT CONTACT JAPAN OVERVIEW AMERICA AMERICA & AFRICA PACIFIC MERRILL MERRILL TREND GRAPHS
EUROPE M&A TREND EUROPE PRIVATE EQUITY TREND
1000 200 1,200 7,000
6,000 US$ 1,000 800 210.2bn US$ 150 287.3bn 5,000 US$ 134.5bn
600 US$ US$ 800 Number of deals 251.1bn US$ 208.8bn Number of deals 158.4bn 4,000 US$ US$ 167.0bn 175.6bn 100 Value (US$bn) Value Value (US$bn) Value US$ US$ US$ 3,000 174.1bn 400 112.9bn 147.8bn US$ 600 157.8bn US$ US$ US$ US$ US$ 139.5bn 309.8bn US$ 132.3bn 243.4bn 131.3bn US$ US$ 259.4bn 2,000 US$ 187.6bn 50 114.7bn US$ US$ 110.9bn US$ US$ US$ 199.0bn 91.1bn 97.6bn 200 92.3bn 87.2bn 400
1,000 US$ US$ US$ US$ US$ US$ 42.9bn US$ 178.8bn US$ 185.0bn 171.9bn 178.5bn 164.3bn 136.2bn 30.0bn
0 0 200 0 2011 2012 2013 2014 2015 YTD 2016 2011 2012 2013 2014 2015 YTD 2016
Q1 Q2 Q3 Q4 Volume Buyout value Exit value Buyout volume Exit Volume
30 GLOBAL NORTH C&S EUROPE MIDDLE EAST ASIA- ABOUT CONTACT JAPAN OVERVIEW AMERICA AMERICA & AFRICA PACIFIC MERRILL MERRILL TREND GRAPHS
COUNTRY BREAKDOWN AS A PROPORTION OF EUROPE TOTAL M&A VALUE EUROPE M&A SECTOR BREAKDOWN MAY 2016
Industrials & Chemicals Value: US$10.2bn Number of deals: 89 Market share: 23.0%
Energy, Mining & Utilities Value: US$7.4bn United Kingdom Number of deals: 22 US$8.0bn Market share: 17.0% 76 deals 18.2% Netherlands US$1.3bn Pharma, Medical & Biotech 21 deals 3.0% Value: US$5.4bn Germany Number of deals: 33 US$9.0bn Market share: 12.0% France 49 deals US$11.1bn 20.4% 52 deals 25.1% Real Estate Value: US$3.5bn Number of deals: 2 Switzerland US$1.3bn Market share: 8.0% 9 deals Key Spain 3.0% US$1.2bn Business Services Value Value % 18 deals Up/Down Region (US$bn) change 2.7% Value: US$3.4bn Italy Value Number of deals: 57 Domestic $22.9 8.6% US$6.4bn Volume 36 deals Value market share Market share: 8.0% Inbound $21.4 6.3% 14.5% Outbound $8.0 11.0%
31 GLOBAL NORTH C&S EUROPE MIDDLE EAST ASIA- ABOUT CONTACT JAPAN OVERVIEW AMERICA AMERICA & AFRICA PACIFIC MERRILL MERRILL TOP DEALS
TOP 10 ANNOUNCED DEALS FOR MAY 2016
Deal value Deal value Deal value Deal value Deal value US$4.6bn US$4.3bn US$3.5bn US$1.8bn US$1.4bn
Announced Announced Announced Announced Announced 19-May-16 18-May-16 19-May-16 23-May-16 23-May-16 Bidder company Bidder company Bidder company Bidder company Bidder company FMC Technologies Inc Midea Group Co Ltd Gecina SA Groupe SEB SA General Atlantic LLC Target company Target company Target company Target company Target company Technip SA KUKA AG (86.5% stake) Fonciere de Paris SIIC WMF Wuerttembergische Metallwarenfabrik AG Argus Media Limited Dominant sector Dominant sector Dominant sector Seller company Seller company Energy, Mining & Utilities Industrials & Chemicals Real Estate Kohlberg Kravis Roberts & Co LP Nasmyth family Sell-side Financial Adviser Sell-side Financial Adviser Sell-side Financial Adviser Dominant sector Dominant sector Goldman Sachs; and Rothschild Deutsche Bank; and Goldman Sachs Natixis; and Rothschild Consumer Media Sell-side Legal Adviser Sell-side Legal Adviser Sell-side Legal Adviser Sell-side Financial Adviser Sell-side Financial Adviser Darrois Villey Maillot Brochier; and Clifford Chance Bredin Prat; and Gibson Dunn & Crutcher Citi; and Deutsche Bank Bank of America Merrill Lynch Davis Polk & Wardwell (Advising FA: Buy-side Financial Adviser Buy-side Financial Adviser Sell-side Legal Adviser Sell-side Legal Adviser Sullivan & Cromwell) CITIC Securities Co; and Morgan Stanley Goldman Sachs Hengeler Mueller; and Simpson Thacher Linklaters; Macfarlanes; Travers Smith; and Buy-side Financial Adviser Buy-side Legal Adviser Buy-side Legal Adviser & Bartlett Allen & Overy Evercore Partners; and Societe Generale Freshfields Bruckhaus Deringer; and JiaYuan Herbert Smith Freehills (Advising FA: Buy-side Financial Adviser Buy-side Financial Adviser Buy-side Legal Adviser Law Offices Linklaters) Credit Agricole Marlborough Partners Limited Latham & Watkins Buy-side Legal Adviser Buy-side Legal Adviser Gleiss Lutz; Schoenherr Rechtsanwaelte; and Freshfields Bruckhaus Deringer; and Paul Walder Wyss Weiss Rifkind Wharton & Garrison
32 GLOBAL NORTH C&S EUROPE MIDDLE EAST ASIA- ABOUT CONTACT JAPAN OVERVIEW AMERICA AMERICA & AFRICA PACIFIC MERRILL MERRILL TOP DEALS
TOP 10 ANNOUNCED DEALS FOR MAY 2016
Deal value Deal value Deal value Deal value Deal value US$1.4bn US$1.3bn US$1.3bn US$1.2bn US$1.2bn
Announced Announced Announced Announced Announced 10-May-16 16-May-16 04-May-16 19-May-16 02-May-16 Bidder company Bidder company Bidder company Bidder company Bidder company Abertis Infraestructuras SA Konecranes Plc TPG Special Situations Partners Creat Group Corporation Istituto Centrale delle Banche Popolari Target company Target company Target company Target company Italiane SpA; and Mercury UK Holdco Limited A4 Holding SpA (51.4% stake) Terex Corporation (Material Handling & Port Credit Suisse Group AG (Distressed BPL Holdings Limited Target company Seller company Solutions business) credit portfolio) Seller company Setefi Services SpA; and Intesa Sanpaolo Intesa Sanpaolo SpA; Astaldi SpA; and Seller company Seller company Bain Capital LLC; and UK Department Card doo Equiter SpA Terex Corporation Credit Suisse Group AG of Health Seller company Dominant sector Dominant sector Dominant sector Dominant sector Intesa Sanpaolo SpA Construction Industrials & Chemicals Financial Services Pharma, Medical & Biotech Dominant sector Sell-side Financial Adviser Sell-side Financial Adviser Sell-side Financial Adviser Sell-side Financial Adviser Business Services Banca IMI/Intesa Sanpaolo Citi; and Credit Suisse Credit Suisse Lazard Sell-side Financial Adviser Sell-side Legal Adviser Sell-side Legal Adviser Buy-side Legal Adviser UBS Investment Bank Studio Legale Lombardi Molinari Segni Avance Attorneys (Advising FA: White & Case) Freshfields Bruckhaus Deringer Sell-side Legal Adviser Buy-side Financial Adviser Buy-side Financial Adviser Pedersoli Studio Legale Leonardo & Co; and Mediobanca Nordea; Perella Weinberg Partners; and SEB Buy-side Financial Adviser Buy-side Legal Adviser Buy-side Legal Adviser Deutsche Bank; and Mediobanca BonelliErede; and Cuatrecasas, Roschier; and Skadden Arps Slate Meagher Buy-side Legal Adviser Goncalves Pereira & Flom Gitti Raynaud and Partners; and Weil Gotshal & Manges
33 GLOBAL NORTH C&S EUROPE MIDDLE EAST ASIA- ABOUT CONTACT JAPAN OVERVIEW AMERICA AMERICA & AFRICA PACIFIC MERRILL MERRILL LEAGUE TABLES
TOP 20 EUROPE FINANCIAL ADVISERS TOP 20 EUROPE FINANCIAL ADVISERS
VALUE VOLUME
Ranking May 2016 May 2015 Ranking May 2016 May 2015 Value Value % Val. Value Deal count May 2016 May 2015 Company Name Deal count May 2016 May 2015 Company Name Deal count Deal count (US$m) (US$m) Change (US$m) Change 1 2 Goldman Sachs 13.6 6 26.6 -49.1% 1 3 Rothschild 9.8 14 20 -6 2 8 Deutsche Bank 9.8 7 11.0 -10.4% 2 2 PwC 0.0 10 29 -19 3 15 Rothschild 9.8 14 7.2 36.1% 3 - Danske Bank Corporate Finance 1.2 8 - - 4 7 Morgan Stanley 6.7 5 11.1 -39.6% 4 26 Deutsche Bank 9.8 7 4 3 5 1 JPMorgan 6.6 5 37.0 -82.1% 5 47 SEB 2.2 7 2 5 6 29 Lazard 5.7 6 2.8 105.5% 6 8 EY 1.2 7 13 -6 7 55 Evercore Partners 5.7 4 0.4 1,169.4% 7 1 KPMG 0.8 7 32 -25 8 10 Societe Generale 5.6 3 8.2 -31.3% 8 6 Goldman Sachs 13.6 6 13 -7 9 9 Credit Suisse 4.4 6 9.6 -54.0% 9 5 Lazard 5.7 6 14 -8 10 - CITIC Securities 4.3 1 - - 10 10 Credit Suisse 4.4 6 10 -4 11 23 Citi 4.1 6 4.0 1.9% 11 14 Citi 4.1 6 7 -1 12 - The Valence Group 3.9 2 - - 12 55 Lincoln International 0.4 6 2 4 13 31 Natixis 3.5 2 1.8 98.5% 13 9 Morgan Stanley 6.7 5 10 -5 14 42 Mediobanca S.p.A. 3.3 4 0.8 329.6% 14 4 JPMorgan 6.6 5 15 -10 15 41 RBC Capital Markets 3.2 4 0.8 303.8% 15 97 Evercore Partners 5.7 4 1 3 16 5 UBS Investment Bank 3.0 4 11.8 -75.1% 16 19 Mediobanca S.p.A. 3.3 4 6 -2 17 32 SEB 2.2 7 1.7 28.3% 17 49 RBC Capital Markets 3.2 4 2 2 18 6 Bank of America Merrill Lynch 2.1 4 11.4 -81.4% 18 23 UBS Investment Bank 3.0 4 5 -1 19 51 Credit Agricole 1.8 2 0.6 222.8% 19 16 Bank of America Merrill Lynch 2.1 4 6 -2 20 168 Banca IMI/Intesa Sanpaolo 1.4 3 0.0 - 20 22 Barclays 1.0 4 5 -1
34 GLOBAL NORTH C&S EUROPE MIDDLE EAST ASIA- ABOUT CONTACT JAPAN OVERVIEW AMERICA AMERICA & AFRICA PACIFIC MERRILL MERRILL LEAGUE TABLES
TOP 20 EUROPE LEGAL ADVISERS TOP 20 EUROPE LEGAL ADVISERS
VALUE VOLUME
Ranking May 2016 May 2015 Ranking May 2016 May 2015 Value Value % Val. Value Deal count May 2016 May 2015 Company Name Deal count May 2016 May 2015 Company Name Deal count Deal count (US$m) (US$m) Change (US$m) Change 1 10 Freshfields Bruckhaus Deringer 7.7 11 8.8 -12.4% 1 1 DLA Piper 1.8 12 23 -11 2 5 Linklaters 7.2 9 13.4 -46.4% 2 17 Freshfields Bruckhaus Deringer 7.7 11 9 2 3 4 Clifford Chance 6.7 9 14.6 -53.8% 3 2 Linklaters 7.2 9 21 -12 4 1 Skadden Arps Slate Meagher & Flom 6.3 6 19.0 -66.9% 4 3 Clifford Chance 6.7 9 20 -11 5 9 Latham & Watkins 5.9 7 9.0 -34.6% 5 4 White & Case 2.8 9 18 -9 6 61 Davis Polk & Wardwell 5.0 4 0.8 546.3% 6 10 Jones Day 1.4 9 12 -3 7 71 Bredin Prat 4.6 3 0.6 666.7% 7 11 Hogan Lovells International 0.1 9 12 -3 8= 65 Darrois Villey Maillot Brochier 4.6 1 0.7 528.7% 8 6 Allen & Overy 2.3 8 18 -10 8= 181 Sullivan & Cromwell 4.6 1 0.1 8,176.4% 9 21 Latham & Watkins 5.9 7 7 0 10 - JiaYuan Law Offices 4.3 1 - - 10 8 Baker & McKenzie 0.4 7 15 -8 11 110 McDermott Will & Emery 3.9 6 0.3 1,173.0% 11 12 Skadden Arps Slate Meagher & Flom 6.3 6 11 -5 12 267 Hengeler Mueller 3.7 4 0.0 - 12 177 McDermott Will & Emery 3.9 6 1 5 13 51 Herbert Smith Freehills 3.5 2 1.3 167.0% 13 88 Pedersoli Studio Legale 1.5 6 3 3 14 26 White & Case 2.8 9 5.0 -42.6% 14 54 Accura 1.1 6 4 2 15 - Simpson Thacher & Bartlett 2.6 2 - - 15 279 Vinge 0.6 6 1 5 16 33 Allen & Overy 2.3 8 3.1 -26.8% 16 27 Roschier 1.4 5 6 -1 17 34 Weil Gotshal & Manges 2.2 4 3.1 -28.1% 17 13 Bech-Bruun 0.5 5 11 -6 18 49 Kirkland & Ellis 2.2 3 1.5 43.6% 18 215 Kromann Reumert 0.4 5 1 4 19 - Avance Attorneys 2.1 2 - - 19 7 CMS 0.3 5 18 -13 20 45 De Brauw Blackstone Westbroek 1.8 2 1.8 1.8% 20 63 Osborne Clarke 0.0 5 4 1
35 GLOBAL NORTH C&S EUROPE MIDDLE EAST ASIA- ABOUT CONTACT JAPAN OVERVIEW AMERICA AMERICA & AFRICA PACIFIC MERRILL MERRILL MIDDLE EAST & AFRICA MIDDLE EAST & AFRICA
The Middle East and Africa experienced the highest performing month by value so far in 2016, Key Stats with 20 deals worth US$4.4bn up 127% by value compared to May 2015 (US$1.9bn, 37 deals). This increase in activity is reflected by the fact that the two largest deals of the year-to-date (YTD) occurred in May. Both of the deals were by Chinese bidders targeting the Energy, Mining 20 deals valued at US$4.4bn, up 126.3% by value with 17 fewer deals and Utilities sector, which seems to be reaping the benefits due to a cautious increase in compared to 37 deals worth US$1.9bn commodity prices. in May ’15
May represented the highest valued month leading investor within the region in 2016, sector: “In terms of M&A, we expect there to Top sector for M&A targeting the region since October with seven deals worth US$4.4bn accounting be a significant amount of activity in both the Energy, Mining & Utilities 2015 (US$13.2bn, 30 deals). YTD, the for 43% of total inbound M&A to-date so far oil and gas and gold spaces.” This has been saw 4 deals worth region attracted four deals valued above in 2016 (US$10.1bn, 71 deals). reiterated by Mergermarket intelligence, US$4.0bn, up 806.5% US$1bn, with two of these announced which has stated that gold mining “has by value compared to during May alone. The highest valued The top three deals announced in May all shown resistance and could prove a safe 3 deals worth US$496m deal of the month – China Molybdenum targeted companies within the Energy, haven for mining dealmakers in 2016.” in May ’15 Co. Ltd’s US$2.7bn acquisition of a 65% Mining & Utilities sector, pushing it to reach stake in Tenke Fungurume Mining from its highest monthly deal value since August FreeportMcMoRan Inc – was the largest 2013 (US$8.2bn, seven deals). After a slow deal focused in the region so far in 2016. start to the year, Energy, Mining and Utilities Top Financial Adviser Furthermore, this deal represents the has become the highest performing sector Citi ranked first with highest valued deal targeting the Congo by value to-date (US$4.3bn, 13 deals). This 1 deal worth US$2.7bn, on Mergermarket record (since 2001). deal value represents a slight 4.9% increase compared to 1 deal worth by value compared to the same period during US$215m in May ’15 Dealmakers’ confidence is returning to the 2015 (26 deals, US$4.1bn). region, with YTD inbound activity (US$10.1bn) up 22.6% by value compared to the same In regards to future commodity prices, period in 2015 (US$8.3bn). Thanks to the Andrew Chubb, Director at Hannam & Top Legal Adviser two large acquisitions being from Chinese Partners recently indicated that “we expect Shearman & Sterling bidders, Q2 inbound activity (US$5.3bn, 24 to see a steady recovery over a couple of ranked first with 2 deals deals) is already its highest value since Q4 years.” Chubb also stated that this increased worth US$4.0bn 2014 (US$6.9bn, 57 deals). China is now the confidence could see a resurgence in the
37 MIDDLE EAST GLOBAL NORTH C&S ASIA- ABOUT CONTACT EUROPE & AFRICA JAPAN OVERVIEW AMERICA AMERICA PACIFIC MERRILL MERRILL TREND GRAPHS
MIDDLE EAST & AFRICA M&A TREND MIDDLE EAST & AFRICA PRIVATE EQUITY TREND
70 500 12 70
60 60 10 US$ 400 15.5bn
50 50 US$ 24.4bn 8 US$ US$ US$ 300 Number of deals 20.7bn Number of deals 40 7.3bn 13.7bn 40 US$ 20.2bn 6 US$ US$ 11.9bn US$ 11.5bn Value (US$bn) Value 30 9.5bn (US$bn) Value 30 US$ 200 9.5bn US$ US$ US$ 4 6.6bn 21.6bn 8.9bn 20 US$ 20 US$ 7.3bn US$ 19.3bn 13.5bn US$ 100 US$ US$ 9.4bn 2 US$ US$ US$ US$ 4.7bn US$ 5.8bn US$ 10 3.9bn 4.1bn 3.8bn 4.0bn 10 19.8bn 3.7bn US$ US$ US$ US$ 2.4bn US$ 12.3bn US$ US$ US$ 1.9bn US$ 2.1bn 8.8bn 9.2bn 7.2bn 8.3bn 1.2bn 0 0 0 0 2011 2012 2013 2014 2015 YTD 2016 2011 2012 2013 2014 2015 YTD 2016
Q1 Q2 Q3 Q4 Volume Buyout value Exit value Buyout volume Exit Volume
38 MIDDLE EAST GLOBAL NORTH C&S ASIA- ABOUT CONTACT EUROPE & AFRICA JAPAN OVERVIEW AMERICA AMERICA PACIFIC MERRILL MERRILL TREND GRAPHS
COUNTRY BREAKDOWN AS A PROPORTION OF MIDDLE EAST & AFRICA TOTAL M&A VALUE MIDDLE EAST & AFRICA M&A SECTOR BREAKDOWN MAY 2016
Energy, Mining & Utilities Value: US$4.0bn Israel Jordan Number of deals: 4 US$212m US$1.3bn Market share: 91.8% 5 deals 1 deal 1.8% 10.7%
Telecommunications Value: US$155m Number of deals: 2 Market share: 3.5%
Consumer Value: US$103m Number of deals: 2
Democratic Republic Market share: 2.3% of Congo US$2.7bn 1 deal 22.5% Industrials & Chemicals Value: US$44m Number of deals: 2 Market share: 1.0%
Key Technology Value Value % Up/Down Region (US$bn) change Value: US$17m Value Number of deals: 3 Domestic $4.9 10.1% Volume Value market share Market share: 0.4% Inbound $10.1 22.6% Outbound $4.0 78.5%
39 MIDDLE EAST GLOBAL NORTH C&S ASIA- ABOUT CONTACT EUROPE & AFRICA JAPAN OVERVIEW AMERICA AMERICA PACIFIC MERRILL MERRILL TOP DEALS
TOP 10 ANNOUNCED DEALS FOR MAY 2016
Deal value Deal value Deal value Deal value Deal value US$2.7bn US$1.3bn US$107m US$103m US$95m
Announced Announced Announced Announced Announced 09-May-16 06-May-16 16-May-16 23-May-16 02-May-16 Bidder company Bidder company Bidder company Bidder company Bidder company China Molybdenum Co Ltd YTL Power International Berhad; and China Oil HBP Science & Technology Co Ltd Eini Family The Sudanese Mobile Telephone (Zain) Target company Guangdong Yudean Group Co Ltd Target company Target company Company Limited Tenke Fungurume Mining SA (56% stake) Target company Anton Oilfield Services DMCC (40% stake) Universal Motors Israel Ltd (46.1% stake) Target company Seller company Attarat Power Company (60% stake) Seller company Seller company Canar Telecommunications Co Limited Freeport-McMoRan Inc Seller company Anton Oilfield Services Group Kardan Israel Ltd (92.3% stake) Dominant sector Eesti Energia AS; and Near East Investments Dominant sector Dominant sector Seller company Energy, Mining & Utilities Dominant sector Energy, Mining & Utilities Consumer Emirates Telecommunications Corporation Sell-side Legal Adviser Energy, Mining & Utilities Dominant sector Davis Polk & Wardwel Telecommunications Buy-side Financial Adviser Citi Buy-side Legal Adviser Covington & Burling
40 MIDDLE EAST GLOBAL NORTH C&S ASIA- ABOUT CONTACT EUROPE & AFRICA JAPAN OVERVIEW AMERICA AMERICA PACIFIC MERRILL MERRILL TOP DEALS
TOP 10 ANNOUNCED DEALS FOR MAY 2016
Deal value Deal value Deal value Deal value Deal value US$60m US$33m US$17m US$16m US$16m
Announced Announced Announced Announced Announced 17-May-16 31-May-16 03-May-16 26-May-16 24-May-16 Bidder company Bidder company Bidder company Bidder company Bidder company Broadcom Limited First Israel Mezzanine Investors Ltd Azrieli Group Ltd MMI Holdings Limited DekelOil Public Limited Target company Target company Target company Target company Target company MagnaCom Ltd Bet Shemesh Engines Ltd (42.85% stake) Buy2 Networks Ltd (Ecommerce business) United Metropolitan Life (50% stake) CS DekelOil Siva Limited (30.5% stake) Dominant sector Seller company Seller company Seller company Seller company Telecommunications Clal Industries Ltd Buy2 Networks Ltd United Capital Plc Biopalm Energy Ltd Dominant sector Dominant sector Dominant sector Dominant sector Industrials & Chemicals Technology Financial Services Agriculture Buy-side Legal Adviser Barnea & Co
41 MIDDLE EAST GLOBAL NORTH C&S ASIA- ABOUT CONTACT EUROPE & AFRICA JAPAN OVERVIEW AMERICA AMERICA PACIFIC MERRILL MERRILL LEAGUE TABLES
TOP 16 MIDDLE EAST & AFRICA FINANCIAL ADVISERS TOP 16 MIDDLE EAST & AFRICA FINANCIAL ADVISERS
VALUE VOLUME
Ranking May 2016 May 2015 Ranking May 2016 May 2015 Value Value % Val. Value Deal count May 2016 May 2015 Company Name Deal count May 2016 May 2015 Company Name Deal count Deal count (US$m) (US$m) Change (US$m) Change 1 18 Citi 2,650 1 215 1,132.6% 1 4 Jefferies 1,221 2 3 -1 2 22 Jefferies 1,221 2 173 605.8% 2 20 Citi 2,650 1 1 0 3= 2 JPMorgan 940 1 3,132 -70.0% 3= 5 JPMorgan 940 1 2 -1 3= - RBC Capital Markets 940 1 - - 3= - RBC Capital Markets 940 1 - - 5 - Credit Suisse 379 1 - - 5 - Credit Suisse 379 1 - - 6 - Ponthieu Partners 281 1 - - 6 - Ponthieu Partners 281 1 - - 7 3 PwC 30 1 2,982 -99.0% 7 6 PwC 30 1 2 -1 8 - Kurmann Partners AG 8 1 - - 8 - Kurmann Partners AG 8 1 - - 9= - Arqaam Capital 0 1 - - 9= - Arqaam Capital 0 1 - - 9= - deNovo Corporate Advisors 0 1 - - 9= - deNovo Corporate Advisors 0 1 - - 9= 36 KPMG 0 1 17 -100.0% 9= 8 KPMG 0 1 2 -1 9= - NBK Capital 0 1 - - 9= - NBK Capital 0 1 - - 9= - Raphael Financial Advisory 0 1 - - 9= - Raphael Financial Advisory 0 1 - - 9= - Robert W. Baird & Co 0 1 - - 9= - Robert W. Baird & Co 0 1 - - 9= - Simmons & Company International 0 1 - - 9= - Simmons & Company International 0 1 - - 9= - Standard Chartered 0 1 - - 9= - Standard Chartered 0 1 - -
42 MIDDLE EAST GLOBAL NORTH C&S ASIA- ABOUT CONTACT EUROPE & AFRICA JAPAN OVERVIEW AMERICA AMERICA PACIFIC MERRILL MERRILL LEAGUE TABLES
TOP 16 MIDDLE EAST & AFRICA LEGAL ADVISERS TOP 16 MIDDLE EAST & AFRICA LEGAL ADVISERS
VALUE VOLUME
Ranking May 2016 May 2015 Ranking May 2016 May 2015 Value Value % Val. Value Deal count May 2016 May 2015 Company Name Deal count May 2016 May 2015 Company Name Deal count Deal count (US$m) (US$m) Change (US$m) Change 1 - Davis Polk & Wardwell 3,590 2 - - 1 9 Freshfields Bruckhaus Deringer 379 3 2 1 2= - Covington & Burling 2,650 1 - - 2 4 Hogan Lovells International 8 3 3 0 2= 42 Herbert Smith Freehills 2,650 1 54 4,807.4% 3 - Davis Polk & Wardwell 3,590 2 - - 2= - King & Wood Mallesons 2,650 1 - - 4 - Gibson Dunn & Crutcher 0 2 - - 2= - Osler, Hoskin & Harcourt 2,650 1 - - 5= - Covington & Burling 2,650 1 - - Meitar Liquornik Geva Leshem Tal 5= 17 Herbert Smith Freehills 2,650 1 2 -1 6= - 940 1 - - & Co 5= - King & Wood Mallesons 2,650 1 - - 6= - Parsons Behle & Latimer 940 1 - - 5= - Osler, Hoskin & Harcourt 2,650 1 - - 6= - Pillsbury Winthrop Shaw Pittman 940 1 - - Meitar Liquornik Geva Leshem Tal 9= - 940 1 - - 6= 8 Skadden Arps Slate Meagher & Flom 940 1 2,184 -57.0% & Co 10 7 Freshfields Bruckhaus Deringer 379 3 2,275 -83.3% 9= - Parsons Behle & Latimer 940 1 - - 11 10 DLA Piper 281 1 762 -63.1% 9= - Pillsbury Winthrop Shaw Pittman 940 1 - - 12= 2 Cliffe Dekker Hofmeyr 170 1 3,066 -94.5% 9= 10 Skadden Arps Slate Meagher & Flom 940 1 2 -1 12= - Wolf Theiss 170 1 - - 13 1 DLA Piper 281 1 5 -4 14 53 AZB & Partners 30 1 17 76.5% 14= 2 Cliffe Dekker Hofmeyr 170 1 3 -2 15 49 Barnea & Co 17 1 28 -39.3% 14= - Wolf Theiss 170 1 - - 16 13 Hogan Lovells International 8 3 432 -98.1% 16 54 AZB & Partners 30 1 1 0
43 MIDDLE EAST GLOBAL NORTH C&S ASIA- ABOUT CONTACT EUROPE & AFRICA JAPAN OVERVIEW AMERICA AMERICA PACIFIC MERRILL MERRILL ASIA-PACIFIC (excluding Japan) ASIA-PACIFIC (excluding Japan)
Asia-Pacific (excl. Japan) saw a continuation of M&A cooldown since January. In May, total deal Key Stats value reached US$52.6bn with 234 deals announced. The figures represented a 45.3% decrease in value and a drop of 88 deals from May 2015 (US$96.2bn, 322 deals). 234 deals valued at US$52.6bn, down 45.3% by value with 88 fewer deals compared to 322 deals worth Media was the leading sector with 6 deals Outbound activities in the region remained takeover bid towards Fidelity & Guaranty US$96.2bn in May ’15 worth US$7.8bn, a 14.8% market share and strong in May, with 47 deals worth US$13.1bn. Life Insurance Company, a potential a 356.8% increase in value over May 2015 This represented a 49% increase in deal value second factor. Another uncertainty was (US$1.7bn, 12 deals). This was mainly due to compared to May 2015 (48 deals, US$8.8bn). the presidential election as the Chinese Top sector the two top deals which accounted for 91.6% China (23 deals, US$11.3bn), continued to enterprisers remained conservative Media saw 6 deals worth of total deal value – US$5.7bn acquisition play a crucial role in this trend by occupying towards propaganda. US$7.8bn, up 356.8% of Wanda Media by Wanda Cinema Line, and 85.9% of the total outbound value. In addition, by value compared to 12 US$1.5bn acquisition of China-based Le China’s monthly investments towards non- European companies became the most favorite deals worth US$1.7bn in Vision Pictures by Leshi Internet Information Asian companies have exceeded US$10bn target attracting more than half of the outbound May ’15 and Technology. Similarly, the Transportation for five straight months, in contrast to the investment totaling US$7.1bn, up 146.7% from sector (6 deals, US$7.9bn) was pushed to fact that none of the monthly numbers had April’s US$2.9bn. The Industrials & Chemicals second place in value by the top deal in the ever reached US$10bn in the last three years sector also took the place of Technology as Top Financial Adviser region, the US$6.8bn back-door listing of SF (2013-2015). the top outbound sector with seven deals China International Holding, a leading courier service provider amounting to US$4.2bn, accounting for 38.1% Capital Corporation in China. China shifted its focus from US to Europe. The of the total outbound value. ranked first with 6 Chinese transactions targeting US companies deals worth US$14.0bn, China was the dominant country for M&A dropped sharply to US$183m in May, a figure compared to 1 deal worth in May 2016 with 112 transactions valued at below US$1bn for the first time since last US$128m in May ’15 US$35.7bn, accounting for 67.8% of Asia- October. It also represented a 96.5% decrease Pacific (excl. Japan) total value. Compared in value compared to April (US$5.2bn). to May 2015, the cumulative value of Chinese Top Legal Adviser M&A activity increased by 27.2%, despite A potential factor for this decline could Grandall Law Firm ranked seeing 44 fewer deals. Without the support of involve increasing regulatory risks, first with 7 deals worth large deals, South Korea and Hong Kong both especially from the Committee on Foreign US$7.4bn, compared to experienced a huge decline in value year-on- Investment in the US (CFIUS). Anbang 6 deals worth US$1.7bn year (YoY). Insurance Group recently withdrew its in May ’15
45 ASIA- GLOBAL NORTH C&S MIDDLE EAST ABOUT CONTACT EUROPE PACIFIC JAPAN OVERVIEW AMERICA AMERICA & AFRICA MERRILL MERRILL TREND GRAPHS
ASIA-PACIFIC M&A TREND ASIA-PACIFIC PRIVATE EQUITY TREND
1,000 4,000 100 400
900 90 3,500 350
800 80 US$ 301.4bn 3,000 300 700 70
2,500 60 Number of deals 600 Number of deals 250 US$ US$ 217.3bn 166.2bn 500 2,000 50 US$ Value (US$bn) Value Value (US$bn) Value 89.8bn 200 400 40 US$ US$ 1,500 US$ 117.0bn 139.4bn US$ US$ US$ 73.1bn 245.8bn 30 300 85.6bn 60.1bn 150 US$ 1,000 US$ US$ US$ 116.9bn US$ US$ 48.1bn 200 115.8bn 105.0bn US$ 20 169.4bn 42.6bn US$ 98.7bn US$ US$ 34.4bn US$ US$ US$ 34.5bn US$ US$ US$ 32.0bn 100 29.5bn 28.2bn 29.9bn US$ 79.4bn 81.2bn 107.8bn US$ 500 100 10 US$ 25.2bn 194.7bn US$ 19.1bn US$ US$ US$ 145.2bn US$ 114.3bn 87.5bn 83.1bn 69.0bn 0 0 0 50 2011 2012 2013 2014 2015 YTD 2016 2011 2012 2013 2014 2015 YTD 2016
Q1 Q2 Q3 Q4 Volume Buyout value Exit value Buyout volume Exit Volume
46 ASIA- GLOBAL NORTH C&S MIDDLE EAST ABOUT CONTACT EUROPE PACIFIC JAPAN OVERVIEW AMERICA AMERICA & AFRICA MERRILL MERRILL TREND GRAPHS
COUNTRY BREAKDOWN AS A PROPORTION OF ASIA-PACIFIC TOTAL M&A VALUE ASIA-PACIFIC M&A SECTOR BREAKDOWN MAY 2016
Media Value: US$7.8bn Number of deals: 6 Market share: 14.8% South Korea US$4.0bn 20 deals 7.5% Transportation Value: US$7.7bn ALL SECTORS Number of deals: 7 Market share: 14.5% China US$35.7bn 112 deals 67.8% Financial Services Value: US$6.9bn
India Number of deals: 20 US$2.2bn Market share: 13.0% 14 deals Hong Kong 4.1% US$1.5bn 11 deals Singapore 2.9% Real Estate US$3.4bn Value: US$6.1bn 14 deals 6.5% Number of deals: 5 Market share: 11.5%
Key
Australia Energy, Mining & Utilities Value Value % Up/Down US$2.0bn Value: US$5.2bn (US$bn) change 27 deals Region Number of deals: 10 Domestic $49.6 45.9% 3.8% Value Market share: 9.9% Inbound $2.9 32.1% Volume Value market share Outbound $13.1 69.2%
47 ASIA- GLOBAL NORTH C&S MIDDLE EAST ABOUT CONTACT EUROPE PACIFIC JAPAN OVERVIEW AMERICA AMERICA & AFRICA MERRILL MERRILL TOP DEALS
TOP 10 ANNOUNCED DEALS FOR MAY 2016
Deal value Deal value Deal value Deal value Deal value US$6.8bn US$5.7bn US$4.4bn US$3.4bn US$2.8bn
Announced Announced Announced Announced Announced 23-May-16 13-May-16 30-May-16 31-May-16 20-May-16 Bidder company Bidder company Bidder company Bidder company Bidder company Maanshan Dingtai Rare Earth & New Wanda Cinema Line Co Ltd Dalian Wanda Group Temasek Holdings Pte Ltd; GIC Private Kingray New Materials Science & Technology Materials Co Ltd Target company Target company Limited; and Alibaba Group Holding Ltd Co Ltd Target company Wanda Media Co Ltd Dalian Wanda Commercial Properties Co Ltd Target company Target company SF Holding (Group) Co Ltd Seller company Dominant sector Alibaba Group Holding Ltd (1.85% stake) Minmetals Securities Co Ltd (3.4% stake); Seller company An investor group led by Beijing Wanda Real Estate Seller company Minmetals International Trust and Investment Co Ltd (1.86% stake); Minmetals Capital An investor group led by Wang Wei Investment Co Ltd Buy-side Financial Adviser SoftBank Group Corp (Private investor) Holding Co Ltd; and Minmetals & Jingyi Dominant sector China International Capital Corporation Dominant sector Futures Co Ltd (10.4% stake) Dominant sector Media Buy-side Legal Adviser Technology Transportation Dominant sector Buy-side Financial Adviser (Advising FA: Slaughter and May) Sell-side Legal Adviser Financial Services Buy-side Financial Adviser China International Capital Corporation Mori Hamada & Matsumoto Buy-side Financial Adviser China Merchants Securities; CITIC Securities Buy-side Legal Adviser Co Ltd; and Huatai United Securities China International Capital Corporation; and Jingtian & Gongcheng Huatai United Securities Buy-side Legal Adviser Grandall Law Firm
48 ASIA- GLOBAL NORTH C&S MIDDLE EAST ABOUT CONTACT EUROPE PACIFIC JAPAN OVERVIEW AMERICA AMERICA & AFRICA MERRILL MERRILL TOP DEALS
TOP 10 ANNOUNCED DEALS FOR MAY 2016
Deal value Deal value Deal value Deal value Deal value US$2.2bn US$2.1bn US$1.5bn US$1.5bn US$1.0bn
Announced Announced Announced Announced Announced 13-May-16 20-May-16 06-May-16 30-May-16 12-May-16 Bidder company Bidder company Bidder company Bidder company Bidder company Mirae Asset Daewoo Co Ltd Oil Search Limited Leshi Internet Information and Technology Globe Telecom Inc; and Philippine Long Apple Inc Target company Target company Corp Beijing Distance Telephone Company Target company Mirae Asset Securities Co Ltd InterOil Corporation Target company Target company Didi Chuxing Dominant sector Dominant sector Le Vision Pictures (Beijing) Co Ltd Vega Telecom Inc Dominant sector Financial Services Energy, Mining & Utilities Seller company Seller company Technology Buy-side Financial Adviser Sell-side Financial Adviser An investor group led by Leshi Holding San Miguel Corporation Mirae Asset Daewoo Co Ltd Morgan Stanley; and UBS (Beijing) Co Ltd Dominant sector Sell-side Legal Adviser Dominant sector Telecommunications Goodmans; and Wachtell, Lipton, Rosen & Media Buy-side Financial Adviser Katz (Advising FA: Osler, Hoskin & Harcourt) Buy-side Financial Adviser JPMorgan; and UBS Buy-side Financial Adviser Zhongtai Securities Buy-side Legal Adviser Credit Suisse; Goldman Sachs; and Picazo Buyco Tan Fider & Santos; and Macquarie Group Romulo, Mabanta, Buenaventura, Sayoc Buy-side Legal Adviser & de los Angeles Allens; Linklaters; and McCarthy Tetrault
49 ASIA- GLOBAL NORTH C&S MIDDLE EAST ABOUT CONTACT EUROPE PACIFIC JAPAN OVERVIEW AMERICA AMERICA & AFRICA MERRILL MERRILL LEAGUE TABLES
TOP 20 ASIA-PACIFIC FINANCIAL ADVISERS TOP 20 ASIA-PACIFIC FINANCIAL ADVISERS
VALUE VOLUME
Ranking May 2016 May 2015 Ranking May 2016 May 2015 Value Value % Val. Value Deal count May 2016 May 2015 Company Name Deal count May 2016 May 2015 Company Name Deal count Deal count (US$m) (US$m) Change (US$m) Change 1 81 China International Capital Corporation 13,972 6 128 10,815.6% 1 87 China International Capital Corporation 13,972 6 1 5 2 18 CITIC Securities 12,334 5 3,510 251.4% 2 7 CITIC Securities 12,334 5 7 -2 3 - Huatai United Securities 9,923 4 - - 3 26 UBS Investment Bank 5,169 5 2 3 4 12 Goldman Sachs 7,034 4 15,216 -53.8% 4 12 Macquarie Group 2,850 5 5 0 5 106 China Merchants Securities Co 6,760 1 19 35,478.9% 5 - Huatai United Securities 9,923 4 - - 6 11 Morgan Stanley 6,753 4 20,252 -66.7% 6 4 Goldman Sachs 7,034 4 9 -5 7 16 UBS Investment Bank 5,169 5 4,505 14.7% 7 2 Morgan Stanley 6,753 4 10 -6 8 7 Deutsche Bank 4,808 2 34,143 -85.9% 8 44 Moelis & Company 971 4 2 2 9 3 Citi 3,351 3 36,004 -90.7% 9 1 PwC 54 4 16 -12 10 27 Macquarie Group 2,850 5 956 198.1% 10 10 Citi 3,351 3 5 -2 11 1 Credit Suisse 2,701 3 52,292 -94.8% 11 3 Credit Suisse 2,701 3 9 -6 12 - Mirae Asset Daewoo Co 2,229 1 - - 12 8 JPMorgan 2,141 3 6 -3 13 4 JPMorgan 2,141 3 35,867 -94.0% 13 125 BDA Partners 503 3 1 2 14 - Zhongtai Securities Co 1,507 1 - - 14 29 Haitong Securities Co 265 3 2 1 15 24 Lazard 1,197 2 1,033 15.9% 15 24 Deloitte 195 3 3 0 16 69 Moelis & Company 971 4 222 337.4% 16 111 Industrial Securities 152 3 1 2 17 - Jefferies 766 2 - - 17 5 KPMG 9 3 8 -5 18 15 Rothschild 750 2 4,967 -84.9% 18 13 Deutsche Bank 4,808 2 4 -2 19= - Dongxing Securities Co 721 1 - - 19 28 Lazard 1,197 2 2 0 19= 45 Southwest Securities Company 721 1 538 34.0% 20 - Jefferies 766 2 - -
50 ASIA- GLOBAL NORTH C&S MIDDLE EAST ABOUT CONTACT EUROPE PACIFIC JAPAN OVERVIEW AMERICA AMERICA & AFRICA MERRILL MERRILL LEAGUE TABLES
TOP 20 ASIA-PACIFIC LEGAL ADVISERS TOP 20 ASIA-PACIFIC LEGAL ADVISERS
VALUE VOLUME
Ranking May 2016 May 2015 Ranking May 2016 May 2015 Value Value % Val. Value Deal count May 2016 May 2015 Company Name Deal count May 2016 May 2015 Company Name Deal count Deal count (US$m) (US$m) Change (US$m) Change 1 40 Grandall Law Firm 7,362 7 1,670 340.8% 1 15 Grandall Law Firm 7,362 7 6 1 2 64 Jingtian & Gongcheng 6,163 3 507 1,115.6% 2 2 King & Wood Mallesons 3,552 7 13 -6 3 3 Freshfields Bruckhaus Deringer 5,770 4 39,098 -85.2% 3 14 Clifford Chance 5,379 6 6 0 4 33 Clifford Chance 5,379 6 2,061 161.0% 4 1 Herbert Smith Freehills 3,477 6 13 -7 5 - JiaYuan Law Offices 5,096 2 - - 5 10 Allens 3,069 6 7 -1 6 - Osler, Hoskin & Harcourt 4,792 2 - - 6 13 Zhong Lun Law Firm 431 5 6 -1 7 22 Slaughter and May 4,734 2 3,870 22.3% 7 157 McCullough Robertson 279 5 1 4 8 20 King & Wood Mallesons 3,552 7 4,071 -12.7% 8 23 Freshfields Bruckhaus Deringer 5,770 4 4 0 9 17 Herbert Smith Freehills 3,477 6 14,025 -75.2% 9 51 Ashurst 1,335 4 2 2 10 142 Mori Hamada & Matsumoto 3,400 1 22 15,354.5% 10 28 Jingtian & Gongcheng 6,163 3 4 -1 11 41 Allens 3,069 6 1,605 91.2% 11 45 WongPartnership 1,055 3 2 1 12 5 Davis Polk & Wardwell 3,000 2 35,989 -91.7% 12 8 Khaitan & Co 771 3 8 -5 13 - Covington & Burling 2,650 2 - - 13 21 DLA Piper 500 3 5 -2 14 - Goodmans 2,162 2 - - 14 - Veritas Legal 176 3 - - 15= 4 Linklaters 2,142 1 36,173 -94.1% 15 - JiaYuan Law Offices 5,096 2 - - 15= 101 McCarthy Tetrault 2,142 1 175 1,124.0% 16 - Osler, Hoskin & Harcourt 4,792 2 - - 15= 18 Wachtell, Lipton, Rosen & Katz 2,142 1 12,107 -82.3% 17 78 Slaughter and May 4,734 2 1 1 18= - Picazo Buyco Tan Fider & Santos 1,484 1 - - 18 42 Davis Polk & Wardwell 3,000 2 2 0 Romulo, Mabanta, Buenaventura, 19 - Covington & Burling 2,650 2 - - 18= - 1,484 1 - - Sayoc & de los Angeles 20 - Goodmans 2,162 2 - - 20 62 Ashurst 1,335 4 635 110.2%
51 ASIA- GLOBAL NORTH C&S MIDDLE EAST ABOUT CONTACT EUROPE PACIFIC JAPAN OVERVIEW AMERICA AMERICA & AFRICA MERRILL MERRILL JAPAN JAPAN
In contrast to a cooling down M&A climate in the rest of Asia-Pacific, dealmaking targeting Japan Key Stats saw a continuous growth so far this year. Deal value reached US$29.8bn via 168 transaction, representing a 67.2% increase from the same period in 2015 and the highest year-to-date (YTD) value after the 2012 record (US$37.4bn via 179 deals). 27 deals valued at US$8.4bn, up 67.2% by value with 14 fewer deals compared to 41 deals worth US$6.7bn in May ’15 Thanks to its advanced manufacturing sector will continue in 2016. Ohashi Technica, in targets such as Thailand, Vietnam and technologies, the industrial sector has always a Tokyo-headquartered manufacturer Cambodia for overseas expansion; Kinsei been amongst the most active sectors in of automotive metal components, could Sangyo, a Japanese plant engineering Top sector Japan M&A. This month, Industrials and consider a peer acquisition for business company, is mulling entering Thailand Industrials & Chemicals Chemicals surpassed the all-time-sector- expansion. The ideal target should be a through a joint venture that would help saw 6 deals worth winner since 2016 – Pharma, Medical & manufacturer of metal automotive parts and it establish a medical waste incineration US$5.2bn, compared to Biotech, to become the highest YTD valued could primarily be one that has an existing business in Southeast Asia; and Sangetsu, 11 deals worth US$294m sector with 36 deals worth US$9.7bn. The presence in the Japan automobile market. an Aichi-headquartered interior company, in May ’15 value marks a 159% increase compare is mulling SEA market entry by potentially to the US$3.7bn worthy deals announced Even though last year’s outbound record will setting up subsidiaries or joint ventures, to during the first five months last year. be hard to emulate, May saw a strong bounce- name just a few. Top Financial Adviser back of Japanese dealmakers investing Nomura Holdings ranked Within the sector, automotive attracted the overseas as opposed to the sluggish outbound first with 9 deals worth most notable deal of this month. Mitsubishi activities during the earlier months of 2016. US$6,5bn, compared to Motors, the Japanese auto giant which Deal value (US$1.3bn, 13 deals) increased 11 deals worth US$5.7bn suffered a share plunge after a fuel-economy by 77.3% compared to the US$743m worthy in May ’15 discrepancy scandal broke in April, sold a deals announced in May 2015, despite the fact 34% stake to the Nissan-Renault alliance that YTD value of US$13.5bn was still nearly at US$2.2bn, hoping that Carlos Ghosn, the US$3bn legging behind the US$41.3bn record Top Legal Adviser French boss of Nissan-Renault who earned set up in 2015. More Japanese companies Mori Hamada & Matsumoto his nickname of Le Cost Killer by bring the revealed their plans to make investment in ranked first with 10 deals money-losing Renault into rescue within only their neighbor countries in Southeast Asia in worth US$8.7bn, compared a year, will help the company to regain trust May. As reported by Mergermarket, Kyokuyo, to 9 deals worth US$5.4bn from the market. According to Mergermarket a Tokyo-based marine food products in May ’15 intelligence, the growth in the automotive company, is seeking acquisitions of peers
53 GLOBAL NORTH C&S MIDDLE EAST ASIA- JAPAN ABOUT CONTACT EUROPE OVERVIEW AMERICA AMERICA & AFRICA PACIFIC MERRILL MERRILL TREND GRAPHS
JAPAN M&A TREND JAPAN M&A PRIVATE EQUITY TREND
90 450 20 50
400 80
US$ 21.5bn 350 40 70 15 US$ 16.2bn 300 60
30 Number of deals Number of deals US$ 50 250 US$ 21.8bn US$ 13.9bn US$ 32.6bn 10 19.6bn 40 200 Value (US$bn) Value Value (US$bn) Value 20 US$ 7.3bn US$ 150 30 US$ US$ US$ 21.7bn 9.3bn US$ 26.3bn 4.7bn US$ US$ 11.0bn US$ US$ 12.4bn 5 11.4bn 20 17.2bn 5.0bn 100 US$ 8.9bn 10 US$ US$ US$ 15.2bn US$ US$ 7.4bn 9.2bn 6.4bn 10.8bn US$ US$ 10 US$ 50 5.0bn US$ US$ US$ 4.7bn US$ 17.4bn 4.0bn 3.7bn US$ US$ 14.1bn US$ US$ 12.1bn US$ 0.7bn 0.6bn 8.1bn 7.1bn 9.1bn 0 0 0 0 2011 2012 2013 2014 2015 YTD 2016 2011 2012 2013 2014 2015 YTD 2016
Q1 Q2 Q3 Q4 Volume Buyout value Exit value Buyout volume Exit Volume
54 GLOBAL NORTH C&S MIDDLE EAST ASIA- JAPAN ABOUT CONTACT EUROPE OVERVIEW AMERICA AMERICA & AFRICA PACIFIC MERRILL MERRILL TREND GRAPHS
COUNTRY BREAKDOWN AS A PROPORTION OF JAPAN TOTAL M&A VALUE JAPAN M&A SECTOR BREAKDOWN MAY 2016
Industrials & Chemicals Value: US$5.2bn Number of deals: 6 Market share: 62.0%
Real Estate Value: US$1.5bn Number of deals: 2 Market share: 17.9%
Financial Services Value: US$1.0bn Inbound Domestic Outbound Number of deals: 2 US$29.0m US$8.4bn US$1.3bn Market share: 11.9% 30.3% 26.8% 77.3%
Technology Value: US$368.7m Number of deals: 7 Market share: 4.4% Key Construction Value: US$176.5m Cross-border Value Number of deals: 3 Value change Market share: 2.1%
55 GLOBAL NORTH C&S MIDDLE EAST ASIA- JAPAN ABOUT CONTACT EUROPE OVERVIEW AMERICA AMERICA & AFRICA PACIFIC MERRILL MERRILL TOP DEALS
TOP 10 ANNOUNCED DEALS FOR MAY 2016
Deal value Deal value Deal value Deal value Deal value US$3.0bn US$2.2bn US$1.5bn US$995m US$173m
Announced Announced Announced Announced Announced 13-May-16 25-May-16 26-May-16 13-May-16 31-May-16 Bidder company Bidder company Bidder company Bidder company Bidder company Nippon Steel & Sumitomo Metal Corporation Nissan Motor Co Ltd Nomura Real Estate Master Fund Inc Mitsubishi UFJ Financial Group Inc; NEC Corporation Target company Target company Target company and Mitsubishi UFJ Lease & Finance Target company Nisshin Steel Co Ltd (42.78% stake) Mitsubishi Motors Corporation (34% stake) Top REIT Inc Company Limited Japan Aviation Electronics Industry Ltd Dominant sector Dominant sector Seller company Target company (10.97% stake) Real Estate Industrials & Chemicals The Master Trust Bank of Japan Ltd; and Hitachi Capital Corporation (27.2% stake) Dominant sector Sell-side Financial Adviser Sell-side Financial Adviser Japan Trustee Services Bank Ltd Seller company Technology Mizuho Financial Group; and Morgan Stanley Morgan Stanley Dominant sector Hitachi Ltd Sell-side Financial Adviser Buy-side Financial Adviser Sell-side Legal Adviser Real Estate Dominant sector Development Bank of Japan Nomura Holdings Mori Hamada & Matsumoto Sell-side Financial Adviser Financial Services Sell-side Legal Adviser Buy-side Legal Adviser Daiwa Securities Group Sell-side Financial Adviser Tokyo Hatchobori Law Office Nishimura & Asahi; and Sullivan & Cromwell Sell-side Legal Adviser Nomura Holdings; and Deutsche Bank Buy-side Financial Adviser Mori Hamada & Matsumoto Sell-side Legal Adviser Sumitomo Mitsui Financial Group Buy-side Financial Adviser Mori Hamada & Matsumoto Nomura Holdings Buy-side Financial Adviser Buy-side Legal Adviser Morgan Stanley Nagashima Ohno & Tsunematsu Buy-side Legal Adviser Nishimura & Asahi
56 GLOBAL NORTH C&S MIDDLE EAST ASIA- JAPAN ABOUT CONTACT EUROPE OVERVIEW AMERICA AMERICA & AFRICA PACIFIC MERRILL MERRILL TOP DEALS
TOP 10 ANNOUNCED DEALS FOR MAY 2016
Deal value Deal value Deal value Deal value Deal value US$156m US$79m US$57m US$42m US$41m
Announced Announced Announced Announced Announced 12-May-16 11-May-16 12-May-16 10-May-16 16-May-16 Bidder company Bidder company Bidder company Bidder company Bidder company Taiheiyo Cement Corporation DA Consortium Inc House Foods Group Inc NTT Data Corporation Kyocera Corporation Target company Target company Target company Target company Target company DC Co Ltd (71.76% stake) IREP Co Ltd (42.37% stake) Gaban Co Ltd (84.1% stake) NJK Corporation (48.82% stake) Nihon Inter Electronics Corporation Dominant sector Dominant sector Seller company Seller company (30.18% stake) Construction Pharma, Medical & Biotech Ajinomoto Co Inc Investor Group Led by Kaga Co Ltd Seller company Sell-side Financial Adviser Sell-side Financial Adviser Dominant sector Dominant sector Kyosan Electric Manufacturing Co Ltd Yamada FAS Yamada FAS Industrials & Chemicals Industrials & Chemicals Dominant sector Sell-side Legal Adviser Buy-side Financial Adviser Sell-side Financial Adviser Sell-side Financial Adviser Pharma, Medical & Biotech Nishimura & Asah Daiwa Securities Group KPMG; and Nomura Holdings Morgan Stanley Sell-side Financial Adviser Buy-side Financial Adviser Sell-side Legal Adviser Sell-side Legal Adviser KPMG Mizuho Financial Group Kitahama Partners; and Nagashima Ohno Nagashima Ohno & Tsunematsu Sell-side Legal Adviser Buy-side Legal Adviser & Tsunematsu Buy-side Financial Adviser Mori Hamada & Matsumoto Hayabusa Asuka Law Offices Buy-side Financial Adviser Daiwa Securities Group Buy-side Financial Adviser Daiwa Securities Group Daiwa Securities Group Buy-side Legal Adviser Anderson Mori & Tomotsune
57 GLOBAL NORTH C&S MIDDLE EAST ASIA- JAPAN ABOUT CONTACT EUROPE OVERVIEW AMERICA AMERICA & AFRICA PACIFIC MERRILL MERRILL LEAGUE TABLES
TOP 15 JAPAN FINANCIAL ADVISERS TOP 15 JAPAN FINANCIAL ADVISERS
VALUE VOLUME
Ranking May 2016 May 2015 Ranking May 2016 May 2015 Value Value % Val. Value Deal count May 2016 May 2015 Company Name Deal count May 2016 May 2015 Company Name Deal count Deal count (US$m) (US$m) Change (US$m) Change 1 1 Nomura Holdings 6,530 9 5,710 14.4% 1 1 Nomura Holdings 6,530 9 11 -2 2 3 Morgan Stanley 6,178 4 4,561 35.5% 2 9 Daiwa Securities Group 1,762 8 2 6 3 7 Mizuho Financial Group 3,249 5 279 1,064.5% 3 3 Mizuho Financial Group 3,249 5 5 0 4 5 Daiwa Securities Group 1,762 8 342 415.2% 4 6 Morgan Stanley 6,178 4 3 1 5 - Deutsche Bank 995 1 - - 5 2 Sumitomo Mitsui Financial Group 732 3 10 -7 6 2 Sumitomo Mitsui Financial Group 732 3 5,209 -85.9% 6 - Yamada FAS 252 3 - - 7= - Barclays 430 1 - - 7 5 KPMG 107 3 4 -1 7= - Lincoln International 430 1 - - 8 - Deutsche Bank 995 1 - - 9= - Houlihan Lokey 411 1 - - 9= - Barclays 430 1 - - 9= - Rothschild 411 1 - - 9= - Lincoln International 430 1 - - 11 - Yamada FAS 252 3 - - 11= - Houlihan Lokey 411 1 - - 12 - BDA Partners 222 1 - - 11= - Rothschild 411 1 - - 13 - Moelis & Company 180 1 - - 13 - BDA Partners 222 1 - - 14 - Development Bank of Japan 173 1 - - 14 - Moelis & Company 180 1 - - 15 - Duff & Phelps 111 1 - - 15 - Development Bank of Japan 173 1 - -
58 GLOBAL NORTH C&S MIDDLE EAST ASIA- JAPAN ABOUT CONTACT EUROPE OVERVIEW AMERICA AMERICA & AFRICA PACIFIC MERRILL MERRILL LEAGUE TABLES
TOP 18 JAPAN LEGAL ADVISERS TOP 15 JAPAN LEGAL ADVISERS
VALUE VOLUME
Ranking May 2016 May 2015 Ranking May 2016 May 2015 Value Value % Val. Value Deal count May 2016 May 2015 Company Name Deal count May 2016 May 2015 Company Name Deal count Deal count (US$m) (US$m) Change (US$m) Change 1 1 Mori Hamada & Matsumoto 8,710 10 5,368 62.3% 1 2 Mori Hamada & Matsumoto 8,710 10 9 1 2 5 Nishimura & Asahi 4,132 3 933 342.9% 2 4 Anderson Mori & Tomotsune 319 6 4 2 3 - Sullivan & Cromwell 2,981 1 - - 3 3 Nagashima Ohno & Tsunematsu 1,934 4 4 0 4 2 Nagashima Ohno & Tsunematsu 1,934 4 5,031 -61.6% 4 1 Nishimura & Asahi 4,132 3 10 -7 5= - Clifford Chance 411 1 - - 5 5 City-Yuwa Partners 28 2 3 -1 5= - Linklaters 411 1 - - 6 - Sullivan & Cromwell 2,981 1 - - 7= - Sidley Austin 337 1 - - 7= - Clifford Chance 411 1 - - 7= 38 Skadden Arps Slate Meagher & Flom 337 1 0 - 7= - Linklaters 411 1 - - 9 7 Anderson Mori & Tomotsune 319 6 292 9.2% 9= - Sidley Austin 337 1 - - 10 22 Oh-Ebashi LPC & Partners 222 1 34 552.9% 9= 38 Skadden Arps Slate Meagher & Flom 337 1 1 0 11= - Ashurst 180 1 - - 11 22 Oh-Ebashi LPC & Partners 222 1 1 0 11= - King & Wood Mallesons 180 1 - - 12= - Ashurst 180 1 - - 13 - Tokyo Hatchobori Law Office 173 1 - - 12= - King & Wood Mallesons 180 1 - - 14 - Hayabusa Asuka Law Offices 156 1 - - 14 - Tokyo Hatchobori Law Office 173 1 - - 15= - Hengeler Mueller 111 1 - - 15 - Hayabusa Asuka Law Offices 156 1 - - 15= - Jones Day 111 1 - - 15= - Schellenberg Wittmer 111 1 - - 15= - Slaughter and May 111 1 - -
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The following notes pertain to data contained in this publication: Deals are included where the deal value is greater than or equal to US$5m. Wher e no deal value has been disclosed, deals are included if the turnover of the target is greater than or equal to US$10m. Deals are included in the graphs and Top Deals in each section based on thedominant geography and dominant sector of the target company. Data underlying the League Tables are based on deals where the bidder, target or parent geography of either is that of the geography in focus. Mid-market is defined as US$10m - US$250m. Remark, the events and publications arm of The Mergermarket Group, offers a range of publishing, research and events services For a full version of the Mergermarket M&A deal database inclusion and league that enable clients to enhance their own profile, and to develop new table criteria, go to http://www.Mergermarket.com/pdf/deal_criteria.pdf. business opportunities with their target audience.