An Acuris Report on Global M&A Activity May 2018 an Acuris Company

An Acuris Company

An Acuris report on global M&A activity

May 2018 Monthly M&A Insider

mergermarket.com Mergermarket Monthly M&A Insider May 2018 2 Contents

An Acuris report on global M&A activity

Contents

Global Overview 4 US & Canada 12 Central & South America 19 Europe 26 Middle East & Africa 33 Asia-Pacific (excluding Japan) 40 Japan 47

mergermarket.com Mergermarket Monthly M&A Insider May 2018 3 Welcome

Welcome from Merrill Corporation

The Monthly M&A Insider explores the global The decidedly less flashy Industrial & by the tax reform law; European businesses M&A market with respect to the numbers, Chemicals sector also held its own in the are seeking deals to fuel inorganic growth; movements and trends, as well as revealing the deal value column thanks to the third-largest and Asia-Pacific acquirers are expanding their top financial and legal advisers — globally and transaction in April: the US$30.1bn merger presence on the world stage and diversifying across six regions (North America, Central and of US refineries Marathon Petroleum and from domestic markets. Equity prices have Mike Sabutis South America, Europe, Middle East and Africa, Andeavor, creating the country’s biggest seen a modest retreat worldwide and an Senior Vice President, Asia-Pacific and Japan). refiner by capacity. increase in volatility, but the global economy Merrill Corporation remains stable and growing. Dealmakers are This year has started with a spate of One area of M&A that finally cooled off last likely to remain busy in the months ahead. megadeals — and the pace of these mammoth month was private equity (PE). After a record- combinations only quickened in April. Three of breaking first quarter for buyout value, PE the six biggest deals by value since the start of deal activity came back down to earth with Sincerely, 2018 were announced in the month, including a humdrum US$33.2bn in aggregate value US-based telecommunications provider (compared to US$120.6bn in the first three Mike Sabutis Sprint’s merger proposal with rival T-Mobile months of the year). None of the top 10 Senior Vice President in a transaction valued at US$58.9bn. The transactions in April involved a financial buyer deal would allow the companies to accelerate acquiring an asset. The tenth biggest deal did, development of 5G wireless technology, they however, represent a PE exit — the US$5.5bn say, even as consumer advocates warn that it sale of Sky Betting and Gaming by UK-based could drive up prices for mobile service. CVC Capital Partners and Sky to Canadian online gambling company Stars Group. Consolidation ramped up further in the global media industry as well in April with That sale was one of just three cross-border the second-largest deal of the month: US deals in the top 10 for the month, as the cable giant Comcast’s bid for a majority stake slowdown in international M&A continued. in European pay-TV operator Sky valued at The rising tide of protectionism and trade US$40.7bn. Separately, Comcast is reportedly barriers — and the uncertainty surrounding considering a hostile bid for 21st Century potential future actions — appear to be Fox assets that Disney won in December, in a taking their toll on cross-border activity. deal that would allow Comcast to consolidate Nonetheless, M&A value in 2018 remains on 100% control of Sky. (Incidentally, all this deal track to nearly match the highest amount ever, activity involving major media companies is US$3.87tn, reached in 2015. US companies injecting uncertainty into the upcoming TV are still actively putting to work funds freed up lineups for their networks.)

mergermarket.com Mergermarket Monthly M&A Insider May 2018 4 Global Overview

Part of the Acuris report on global M&A activity

Global Overview

mergermarket.com Mergermarket Monthly M&A Insider May 2018 5 Global Overview

Global Overview

Further information Another month, another chasm between value as US$174.8bn worth of deals in the PE dealmaking was also strong as buyout Get in touch or read more value and volume in the global M&A market. region accounted for a 50.4% market share. houses seemed determined to keep pace April saw 992 deals valued at US$346.9bn with their strategic rivals. So far this year, PE Six of the top 10 deals had bidders from — up 40.9% by value, but with 523 fewer has deployed US$153.9bn on 953 deals — an Nick Cheek North America including the top deal of the deals compared to 1,515 transactions worth increase of 33% on the same period last year. month — the aforementioned acquisition US$246.3bn in April 2017. of Sprint by telecoms rival T-Mobile for As we head into May, the M&A market is Aram Hovsepian The dynamics behind the dealmaking an estimated US$58.9bn. The deal would buoyant, posting well over US$1tn worth of market have remained similar for some time merge the third- and fourth-largest mobile deals with two months of Q2 still to go. And now. On the buy side, confident cash-rich carriers in the US and create a company with a number of large transactions in the corporates and private equity firms with with around 130 million customers. pipeline and continued economic stability plenty of dry powder are being encouraged across most regions, we could well be Europe, Asia-Pacific and even Central & South by shareholders and activists alike to spend heading for a record year in the deal market. America (a region which has seen heavy falls big on assets that will either increase market in recent months) all posted large gains as share, expand regional focus, or digitally the global M&A market began to heat up disrupt their sector. On the sell side, valuations considerably after a somewhat quiet start to continue to rise as fewer top-quality assets the year. make it into the marketplace. The most high-profile transaction in Europe was Digital disruption has been a major driver the proposed merger between supermarket as traditional sectors such as Automotive, giants Sainsbury and Asda for US$10bn. The Retail and Healthcare race to keep pace with companies are such a staple part of UK life a rapidly changing marketplace. However, that the deal featured on the front pages of all that said, it would seem that the biggest the UK broadsheets and tabloids when it was factor behind April’s value hike is market announced at the tail end of the month. consolidation. The much publicized mergers between US mobile carriers T-Mobile and Sector-wise, the T-Mobile/Sprint deal, coupled Sprint; oil refiners Marathon and Andeavor; with Comcast’s bid for UK broadcaster Sky, and supermarket chains Sainsbury and Asda propelled the Telecommunications sector were all predicated on challenging the number into top spot with US$60bn worth of deals. one incumbents in their respective industries. This was followed by Industrials & Chemicals (US$57.6bn) and Media (US$43bn). Indeed, In terms of regions, every one bar Middle East three of the top five deals came from the & Africa posted a value increase in April. As overarching TMT space. usual, North America took the lion’s share of mergermarket.com Mergermarket Monthly M&A Insider May 2018 6 Global Overview

Top Financial Advisor 992 deals Goldman Sachs & Co valued at US$346.9bn, up 40.9% by value with 523 fewer deals compared to 1,515 ranked first with 30 deals worth US$132.6bn, deals worth US$246.3bn in April 2017. up 91.2% in value with 6 more deals compared to 24 deals worth US$69.4bn in April 2017.

Top Sector Top Legal Advisor Telecommunications Goodwin Procter saw 9 deals valued at US$60bn, up 3,453.8% ranked first with 9 deals worth US$69.7bn, up by value with 2 fewer deals compared to 11 502.7% in value with 17 fewer deals compared deals worth US$1.7bn in April 2017. to 26 deals worth US$11.6bn in April 2017.

Mergermarket.commergermarket.com Mergermarket Monthly M&A Insider May 2018 7 Global Overview

Global M&A trend Global Private Equity trend

4,000 20,000 600 3,500

18,000 3,500 3,000 US$ 500 1,201.3 16,000

3,000 US$ 827.4 US$ 14,000 2,500 1,030.5 US$ 892.5 400 2,500 12,000 Number of deals Number of deals US$ 2,000 874 2,000 US$ 10,000 US$ US$ 300 571.7 861.3 US$ 727.7 US$ US$ US$ Value (US$bn) Value Value (US$bn) Value 870.4 536.4 536.7 US$ 521.1 1,500 8,000 496.6 1,500 US$ 454.3 US$ US$ US$ US$ 416.5 658 US$ 200 407.6 401.4 6,000 1,040.4 US$ 757.2 US$ 1,000 1,000 US$ US$ 346.9 US$ 964.9 US$ 739.5 298.8 295.4 4,000 US$ 561.7 100 US$ 500 US$ 500 US$ 2,000 153.9 US$ US$ 918.6 124.8 US$ 762.4 US$ 752.6 US$ 568.5 626.5 446.7 0 0 0 0 2013 2014 2015 2016 2017 YTD 2018 2013 2014 2015 2016 2017 YTD 2018

Q1 value Q3 value Volume Buyout value Buyout volume Q2 value Q4 value Exit value Exit volume

mergermarket.com Mergermarket Monthly M&A Insider May 2018 8 Global Overview

Regional Trends

Telecommunications Value: US$60bn Number of deals: 9 Market share: 17.3%

Industrials & Chemicals C&S America Asia-Pacific Value: US$57.7bn North America US$9.3bn Number of deals: 204 (excluding Japan) Market share: 16.6% US$174.8bn 29 deals US$59.5bn 2.7% Media 343 deals 264 deals Value: US$43bn 17.2% Number of deals: 35 50.4% Market share: 12.4%

Energy, Mining & Utilities Value: US$29.9bn Number of deals: 66 Market share: 8.6%

Technology Europe Japan Value: US$27.9bn Middle East US$4.9bn Number of deals: 143 & Africa US$97.3bn 23 deals Market share: 8% US$1bn 1.4% 14 deals 319 deals 0.3% 28.1%

Domestic US$236.2bn +61.5% Cross-border US$100.7bn +10.7%

mergermarket.com Mergermarket Monthly M&A Insider May 2018 9 Global Overview

Top deals

Top 10 Announced Deals for April 2018

Value (US$m) Deal details Advisor details

Announcement Target Bidder Dominant sector Sell-side Buy-side date

58,945 29-Apr-18 Sprint Corporation T-Mobile USA Inc Telecommunications FA: Centerview Partners; JPMorgan; Mizuho Financial Group; Raine Group; FA: Deutsche Bank; Evercore; Goldman Sachs & Co; Morgan Stanley; and and Sumitomo Mitsui Financial Group PJT Partners LA: Goodwin Procter; Morrison & Foerster; Potter Anderson & Corroon; and LA: Latham & Watkins; and Wachtell Lipton, Rosen & Katz (Advising FA: Cravath Skadden Arps Slate Meagher & Flom (Advising FA: Pillsbury Winthrop Shaw Swaine & Moore; and Weil Gotshal & Manges) Pittman; and Sidley Austin)

40,726 25-Apr-18 Sky Plc Comcast Corporation Media FA: Barclays; Morgan Stanley; and PJT Partners FA: Bank of America Merrill Lynch; Evercore; and Robey Warshaw LA: - LA: Davis Polk & Wardwell; Freshfields Bruckhaus Deringer; and Shearman & Sterling

30,153 30-Apr-18 Andeavor Corporation Marathon Petroleum Industrials & Chemicals FA: Goldman Sachs & Co FA: Barclays Corporation LA: Sullivan & Cromwell LA: Jones Day

10,648 25-Apr-18 Indus Towers Limited Bharti Infratel Limited Technology FA: Bank of America Merrill Lynch; and Morgan Stanley FA: JPMorgan LA: Bharucha & Partners; S&R Associates; and Slaughter and May LA: AZB & Partners

10,048 30-Apr-18 ASDA Group Limited J Sainsbury Plc Consumer FA: Rothschild FA: Morgan Stanley; and UBS Investment Bank LA: Gibson Dunn & Crutcher; and Slaughter and May LA: Linklaters

9,500 2-Apr-18 Ele.me Alibaba Group Holding Ltd; Business Services FA: Hina Group Inc FA: - and Ant Financial Services LA: - LA: Fangda Partners Group

8,053 23-Apr-18 Vectren Corporation CenterPoint Energy Inc Energy, Mining & Utilities FA: Bank of America Merrill Lynch FA: Goldman Sachs & Co LA: Baker Botts; Cleary Gottlieb Steen & Hamilton; and Taft Stettinius LA: Akin Gump Strauss Hauer & Feld; and Bingham Greenebaum Doll (Advising & Hollister FA: Sullivan & Cromwell; Advising Debt Provider: Weil Gotshal & Manges)

7,837 29-Apr-18 DCT Industrial Trust Inc Prologis Inc Real Estate FA: Bank of America Merrill Lynch FA: JPMorgan LA: Goodwin Procter LA: Mayer Brown

7,702 9-Apr-18 AveXis Inc Novartis AG Pharma, Medical & FA: Centerview Partners; and Goldman Sachs & Co FA: Dyal Co Biotech LA: Cooley; and Cravath Swaine & Moore (Advising FA: Kirkland & Ellis; and LA: Freshfields Bruckhaus Deringer; and Hogan Lovells International Sullivan & Cromwell)

5,587 21-Apr-18 Sky Betting and Gaming Stars Group Inc Leisure FA: Goldman Sachs & Co; Lazard; and Rothschild FA: Morgan Stanley; PJT Partners; and Deutsche Bank LA: Freshfields Bruckhaus Deringer; and Stikeman Elliott LA: Blake, Cassels & Graydon; Gibson Dunn & Crutcher; and Osler, Hoskin & Harcourt

mergermarket.com Mergermarket Monthly M&A Insider May 2018 10 Global Overview

League tables

Top 10 Financial Advisors - Value Top 10 Financial Advisors - Volume

Ranking April 2018 April 2017 Ranking April 2018 April 2017

April 2018 April 2017 Company name Value Deal count Value % Value April 2018 April 2017 Company name Value Deal count Deal count Deal count (USD m) (USD m) change (USD m) change

1 1 Goldman Sachs & Co 132,596 30 69,345 91.2% 1 6 Goldman Sachs & Co 132,596 30 24 6

2 20 Evercore 107,150 15 6,891 1,454.9% 2 7 Rothschild 23,594 19 23 -4

3 4 Morgan Stanley 90,493 17 36,316 149.2% 3 10 Morgan Stanley 90,493 17 20 -3

4 2 JPMorgan 80,024 14 45,362 76.4% 4 20 Evercore 107,150 15 12 3

5 15 Centerview Partners 66,647 3 11,778 465.9% 5 3 JPMorgan 80,024 14 31 -17

6 392 PJT Partners 64,532 3 0 - 6 24 Barclays 51,276 14 9 5

7 3 Bank of America Merrill Lynch 62,590 10 36,860 69.8% 7 1 PwC 1,833 14 35 -21

8 34 Sumitomo Mitsui Financial Group 62,403 4 2,971 2,000.4% 8 9 Houlihan Lokey 1,027 14 21 -7

9 18 Deutsche Bank 62,327 9 8,452 637.4% 9 13 Lazard 16,477 13 15 -2

10 89 Mizuho Financial Group 59,889 4 606 9,782.7% 10 18 Citi 13,097 12 13 -1

Top 10 Legal Advisors - Value Top 10 Legal Advisors - Volume

Ranking April 2018 April 2017 Ranking April 2018 April 2017

April 2018 April 2017 Company name Value Deal count Value % Value April 2018 April 2017 Company name Value Deal count Deal count Deal count (USD m) (USD m) change (USD m) change

1 22 Goodwin Procter 69,649 9 11,556 502.7% 1 1 Kirkland & Ellis 29,792 34 50 -16

2 11 Cravath, Swaine & Moore 67,035 3 17,695 278.8% 2 4 Jones Day 31,655 17 33 -16

3 3 Wachtell, Lipton, Rosen & Katz 65,020 8 35,904 81.1% 3 25 Sullivan & Cromwell 54,667 16 17 -1

4 2 Latham & Watkins 63,613 11 36,485 74.4% 4 3 DLA Piper 1,241 14 39 -25

5 43 Sidley Austin 61,679 6 4,894 1,160.3% 5 2 Latham & Watkins 63,613 11 40 -29

6 12 Weil Gotshal & Manges 61,491 6 15,855 287.8% 6 7 Linklaters 8,081 11 28 -17

7 1 Skadden Arps Slate Meagher & Flom 61,446 10 61,442 0% 7 24 Skadden Arps Slate Meagher & Flom 61,446 10 17 -7

8 30 Morrison & Foerster 59,376 6 7,592 682.1% 8 8 Morgan Lewis & Bockius 2,510 10 28 -18

9 375 Pillsbury Winthrop Shaw Pittman 59,038 2 18 327,888.9% 9 10 Goodwin Procter 69,649 9 26 -17

10 64 Potter Anderson & Corroon 58,945 1 2,543 2,217.9% 10 39 Stikeman Elliott 11,011 9 11 -2

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Part of the Acuris report on global M&A activity

US & Canada

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US & Canada

Further information The year of the megadeal in North America US oil refiner by capacity, with the ability to valued at US$17.7bn, compared to 97 exits Get in touch or read more marched on in April, as two super-sized process around 3.1 million barrels per day. worth US$34.6bn the same month last year. transactions — Sprint’s US$58.9bn merger with Demand for US refineries has risen overall as A decline was also seen in inbound M&A T-Mobile and Marathon Petroleum’s US$30.1bn domestic shale output continues to grow. Ezekiel Pfeifer activity — the inbound value of US$17.7bn acquisition of Andeavor — contributed to a The related sector of Energy, Mining & represented a 36.7% decrease YoY. Just record total in M&A value for the month. Overall, Utilities stood in third place by value in April two of the top 10 deals in the month were there were 343 deals worth US$174.8bn in the Philip Segal at US$15.8bn from 24 transactions. More completed by foreign buyers, including Swiss region, which is the highest aggregate value for than half this total came from the latest in pharmaceutical firm Novartis’s US$7.7bn any April on Mergermarket record and a 45.4% a series of megadeals in the power sector: acquisition of US-based gene therapy company increase in value year-on-year (YoY). Private gas and electric utility CenterPoint Energy’s AveXis, which is developing a treatment for equity continued its strong run as well, nearly US$8bn acquisition of peer company Vectren. the rare disorder spinal muscular atrophy. matching last April’s total value, which was the Power providers are coping with lower highest for the month in a decade. Domestic activity nearly doubled from a year margins as customers increase their energy ago, rising 91.4% to a total of US$164.7bn. Sprint’s tie-up with T-Mobile pushed efficiency, leading to consolidation across the Telecommunications into the top spot for country. The combined entity formed by the sector deal value. The announced merger is the CenterPoint-Vectren deal will have operations second-largest deal of the year so far and has in eight states in the South and Midwest been arguably the most-discussed. Telecoms and around seven million total customers. market experts warn that wireless customers Looking at PE activity in April, there were 89 could see their bills go up substantially as buyouts valued at US$23.8bn in the month, a result of the deal, and concerns about which is 30 fewer deals than a year ago competition have led to speculation that and just short of last year’s value total of antitrust authorities could attempt to block US$23.9bn. A consortium made up of UK- it. The companies argue that the entry of based BC Partners and Canadian buyer Ontario new wireless providers in recent years has Teachers’ Pension Plan executed the largest created a more competitive marketplace. PE deal of the month — a recapitalization Industrials & Chemicals had the second-most of Canadian waste management company value of any sector in April thanks to the GFL Environmental in a transaction valued at Marathon-Andeavor deal, with US$45.5bn US$5.1bn. GFL had previously been considering in value spread across 62 transactions. an IPO to raise up to US$783m. Marathon’s US$30.1bn purchase of rival Exit activity declined substantially YoY last Andeavor creates the largest independent month in North America. There were 73 exits mergermarket.com Mergermarket Monthly M&A Insider May 2018 14 US & Canada

Top Financial Advisor 343 deals Goldman Sachs & Co valued at US$174.8bn, up 45.4% by value with 170 fewer deals compared to 513 deals ranked first with 28 deals worth US$139.5bn, up worth US$120.2bn in April 2017. 217.2% in value with 10 more deals compared to 18 deals worth US$59.2bn in April 2017.

Top Legal Advisor

Top Sector Cleary Gottlieb Telecommunications Steen & Hamilton saw 3 deals valued at US$59.2bn, compared to ranked first with 5 deals worth US$73.2bn, up 1 deal with an undisclosed value in April 2017. 2,711.2% in value with 1 fewer deal compared to 6 deals worth US$2.6bn in April 2017.

Mergermarket.commergermarket.com Mergermarket Monthly M&A Insider May 2018 15 US & Canada

US & Canada M&A trend US & Canada Private Equity trend

2,000 7,000 300 1,400

1,800 6,000 1,200 250 1,600 US$ 526.1

5,000 1,400 1,000

US$ 200 US$ 513.9 375.2 1,200 US$ Number of deals 399.1 4,000 Number of deals US$ 800 473.3 1,000 US$ 150 296 US$ US$ Value (US$bn) Value Value (US$bn) Value 3,000 270.8 US$ 456.4 US$ US$ US$ US$ 600 800 249.9 437.4 313.3 252.7 247.9

US$ 100 204 600 US$ 2,000 US$ US$ 512.4 US$ US$ 171.4 174.4 400 338.5 US$ US$ 162.7 US$ 316.8 174.8 US$ 156.5 US$ US$ 145.2 400 415 342.1

US$ 1,000 50 US$ 200 194 US$ 200 US$ 77.3 US$ US$ 418.4 67.1 367.3 351.5 US$ US$ US$ 270.3 196.6 235.6 0 0 0 0 2013 2014 2015 2016 2017 YTD 2018 2013 2014 2015 2016 2017 YTD 2018

Q1 value Q3 value Volume Buyout value Buyout volume Q2 value Q4 value Exit value Exit volume

mergermarket.com Mergermarket Monthly M&A Insider May 2018 16 US & Canada

Regional Trends

Telecommunications Value: US$59.2bn Number of deals: 3 Market share: 33.9%

Industrials & Chemicals Value: US$45.6bn Number of deals: 62 Market share: 26.1%

US Canada Energy, Mining & Utilities Value: US$15.8bn US$164.4bn US$10.5bn Number of deals: 24 310 deals 33 deals Market share: 9% Pharma, Medical & Biotech 94% 6% Value: US$13.6bn Number of deals: 45 Market share: 7.8%

Real Estate Value: US$11.2bn Number of deals: 3 Market share: 6.4%

Domestic US$164.7bn +91.4% Inbound US$17.7bn -36.7% Outbound US$63.9bn +241.7%

mergermarket.com Mergermarket Monthly M&A Insider May 2018 17 US & Canada

Top deals

Top 10 Announced Deals for April 2018

Value (US$m) Deal details Advisor details

Announcement Target Bidder Dominant sector Sell-side Buy-side date

58,945 29-Apr-18 Sprint Corporation T-Mobile USA Inc Telecommunications FA: Centerview Partners; JPMorgan; Mizuho Financial Group; Raine Group; FA: Deutsche Bank; Evercore; Goldman Sachs & Co; Morgan Stanley; and and Sumitomo Mitsui Financial Group PJT Partners LA: Goodwin Procter; Morrison & Foerster; Potter Anderson & Corroon; and LA: Latham & Watkins; and Wachtell Lipton, Rosen & Katz (Advising FA: Skadden Arps Slate Meagher & Flom (Advising FA: Pillsbury Winthrop Shaw Cravath Swaine & Moore; and Weil Gotshal & Manges) Pittman; and Sidley Austin)

30,153 30-Apr-18 Andeavor Corporation Marathon Petroleum Industrials & Chemicals FA: Goldman Sachs & Co FA: Barclays Corporation LA: Sullivan & Cromwell LA: Jones Day

8,053 23-Apr-18 Vectren Corporation CenterPoint Energy Inc Energy, Mining & Utilities FA: Bank of America Merrill Lynch FA: Goldman Sachs & Co LA: Baker Botts; Cleary Gottlieb Steen & Hamilton; and Taft Stettinius LA: Akin Gump Strauss Hauer & Feld; and Bingham Greenebaum Doll & Hollister (Advising FA: Sullivan & Cromwell; Advising Debt Provider: Weil Gotshal & Manges)

7,837 29-Apr-18 DCT Industrial Trust Inc Prologis Inc Real Estate FA: Bank of America Merrill Lynch FA: JPMorgan LA: Goodwin Procter LA: Mayer Brown

5,400 10-Apr-18 Federal-Mogul Tenneco FA: XMS Capital Partners FA: Barclays LA: Winston & Strawn LA: Kirkland & Ellis; Mayer Brown; Shearman & Sterling; and Simpson Thacher & Bartlett

5,266 30-Apr-18 Interval Leisure Group Marriott Vacations Leisure FA: Goldman Sachs & Co; Moelis & Company FA: JPMorgan Worldwide Corporation LA: Baker Botts; Fried Frank Harris Shriver & Jacobson; O’Melveny & Myers; and LA: Kirkland & Ellis; and Sullivan & Cromwell Paul Weiss Rifkind Wharton & Garrison

5,125 22-Apr-18 GFL Environmental BC Partners Limited; and Industrials & Chemicals FA: Barclays; BMO Capital Markets; CIBC World Markets; Goldman Sachs & Co; FA: Citi; Scotiabank Ontario Teachers' Pension RBC Capital Markets; Macquarie Group Limited LA: Osler, Hoskin & Harcourt; and Simpson Thacher & Bartlett Plan LA: Cleary Gottlieb Steen & Hamilton; Stikeman Elliott

3,380 25-Apr-18 Quality Care Properties Welltower Real Estate FA: Goldman Sachs & Co; and Lazard FA: Barclays LA: Paul Weiss Rifkind Wharton & Garrison; and Wachtell Lipton Rosen & Katz LA: Gibson Dunn & Crutcher; and Shumaker Loop & Kendrick

3,240 9-Apr-18 Verifone Systems Verifone Consortium Technology FA: Qatalyst Group FA: Barclays; Credit Suisse; and RBC Capital Markets LA: Sullivan & Cromwell LA: Kirkland & Ellis

mergermarket.com Mergermarket Monthly M&A Insider May 2018 18 US & Canada

League tables

Top 11 Financial Advisors - Value Top 10 Financial Advisors - Volume

Ranking April 2018 April 2017 Ranking April 2018 April 2017

April 2018 April 2017 Company name Value Deal count Value % Value April 2018 April 2017 Company name Value Deal count Deal count Deal count (USD m) (USD m) change (USD m) change

1 1 Goldman Sachs & Co 139,481 28 59,232 135.5% 1 2 Goldman Sachs & Co 139,481 28 18 10

2 5 Morgan Stanley 123,072 13 27,972 340.0% 2 19 Barclays 95,828 16 7 9

3 13 Evercore 108,450 15 6,628 1,536.2% 3 11 Evercore 108,450 15 11 4

4 197 PJT Partners 105,241 4 0 - 4 3 Morgan Stanley 123,072 13 16 -3

5 10 Barclays 95,828 16 9,575 900.8% 5 1 JPMorgan 85,452 13 24 -11

6 2 JPMorgan 85,452 13 43,459 96.6% 6 4 Houlihan Lokey 788 13 15 -2

7 12 Deutsche Bank 68,564 5 8,452 711.2% 7 17 Jefferies 12,597 12 8 4

8 7 Centerview Partners 66,647 3 11,778 465.9% 8 9 Citi 10,223 10 11 -1

9= 57 Mizuho Financial Group 58,945 1 552 10,578.4% 9 8 RBC Capital Markets 11,519 9 12 -3

9= 51 Raine Group 58,945 1 826 7,036.2% 10 13 Lazard 10,343 9 10 -1

9= 31 Sumitomo Mitsui Financial Group 58,945 1 1,790 3,193.0%

Top 10 Legal Advisors - Value Top 10 Legal Advisors - Volume

Ranking April 2018 April 2017 Ranking April 2018 April 2017

April 2018 April 2017 Company name Value Deal count Value % Value April 2018 April 2017 Company name Value Deal count Deal count Deal count (USD m) (USD m) change (USD m) change

1 49 Cleary Gottlieb Steen & Hamilton 73,203 5 2,604 2,711.2% 1 1 Kirkland & Ellis 36,788 34 45 -11

2 6 Simpson Thacher & Bartlett 72,457 11 23,796 204.5% 2 5 Jones Day 35,859 22 22 0

3 15 Goodwin Procter 69,872 10 10,510 564.8% 3 7 DLA Piper 1,330 18 20 -2

4 2 Wachtell, Lipton, Rosen & Katz 69,170 9 35,904 92.7% 4 16 Sullivan & Cromwell 58,618 13 14 -1

5 3 Fried Frank Harris Shriver & Jacobson 68,821 9 33,435 105.8% 5 9 Simpson Thacher & Bartlett 72,457 11 18 -7

6 7 Cravath, Swaine & Moore 67,035 4 17,695 278.8% 6 12 Cooley 9,046 11 16 -5

7 5 Latham & Watkins 63,613 10 25,755 147.0% 7 3 Morgan Lewis & Bockius 2,871 11 24 -13

8 40 Sidley Austin 62,889 6 3,039 1,969.4% 8 6 Goodwin Procter 69,872 10 21 -11

9 1 Skadden Arps Slate Meagher & Flom 60,825 9 54,762 11.1% 9 2 Latham & Watkins 63,613 10 32 -22

10 61 Morrison & Foerster 59,376 7 1,935 2,968.5% 10 26 Wachtell, Lipton, Rosen & Katz 69,170 9 10 -1

mergermarket.com Mergermarket Monthly M&A Insider May 2018 19 C&S America

Part of the Acuris report on global M&A activity

C&S America

mergermarket.com Mergermarket Monthly M&A Insider May 2018 20 C&S America

C&S America

Further information M&A volume and value in Latin America have International Monetary Fund (IMF)’s World In terms of cross-border/domestic deal Get in touch or read more gone in very different directions this month. Economic Outlook, published in April, Brazil’s splits, the news is encouraging — all sections At US$9.3bn, April was up 153.2% compared economy will grow by 2.35% in 2018 — up from (inbound, outbound, and domestic) are up on with the same month last year. However, there an earlier estimate of 1.9%. The organization the same period in 2017. Whether the upturn in Nick Cheek was a 34% drop off in volume with only 29 attributed the country’s growth to “strong dealmaking fortunes can continue will depend deals being announced — compared with 44 private consumption and investment” and largely on the stability of Brazil’s economy and in April 2017. expects further economic expansion in 2019, the ongoing growth in more robust economies Elizabeth Lim with the country set to reach 2.5%. such as Chile and Peru. The big story in Latin American M&A this month (and indeed since March) has been the Other Latin American countries that return of big money deals to Brazil. This month experienced an uplift in M&A value (if not witnessed transactions worth US$7.2bn in Latin volume) in April include Chile, Peru, and America’s largest economy — this translated Panama. The latter is particularly intriguing as into a 77.8% market share of all deal value it was the republic’s only deal of the month across the region. and still managed to make the top 10 (landing at number six). The transaction saw Japanese The most notable ongoing deal in the country conglomerate Itochu buy a 70% share in is the tussle between Italian energy distributor Toyota distribution company Ricardo Perez Enel and Brazilian rival Neoenergia for control for US$300m. of power distribution company Eletropaulo. The European giants are currently offering US$2.5bn Given the battle between Enel and Neoenergia, for the firm while the South American group is it’s not entirely surprising that Energy, Mining & looking to pay US$1.9bn. Outside the energy Utilities was, by some distance, the top-ranked arena, the next highest-value deal of the month, sector with eight deals worth US$5.6bn. Half of coming in at US$1.7bn, saw Brazilian educational the top 10 deals this month took place in company Kroton Educacional acquire a 73.35% the sector. stake in its rival Somos Educação. Meanwhile, private equity buyouts in the These deals come at a time of heightened region have followed the same trajectory as uncertainty as the country faces an more traditional M&A — lower volume and unpredictable presidential election in October. higher value. The year to date has witnessed Yet, despite this volatility, Brazil’s economy 12 buyouts worth a collective US$586m. This is on the rise, providing a platform for this is four deals down on the same period last flurry of higher priced deals. According to the year but an uplift of 14% in value.

mergermarket.com Mergermarket Monthly M&A Insider May 2018 21 C&S America

29 deals Top Financial Advisor Morgan Stanley valued at US$9.3bn, up 153.2% by value with 15 fewer deals compared to 44 deals ranked first with 2 deals worth US$3.3bn, worth US$3.7bn in April 2017. compared to 0 deals in April 2017.

Top Sector Top Legal Advisor Energy, Mining Linklaters & Utilities ranked first with 2 deals worth US$2bn, compared to 0 deals in April 2017. saw 8 deals valued at US$5.6bn, up 182.4% by value with 3 fewer deals compared to 11 deals worth US$2bn in April 2017.

Mergermarket.commergermarket.com Mergermarket Monthly M&A Insider May 2018 22 C&S America

C&S America M&A trend C&S America Private Equity trend

140 700 12 80

120 600 70 US$ 28.7 10

60 100 500

US$ 50 Number of deals 38.2 Number of deals 80 400 US$ US$ 25.6 43.6 US$ 6 40 19.6 US$ US$ Value (US$bn) Value 60 29.7 300 (US$bn) Value 10.5 US$ US$ US$ 9.1 30 22.4 8.5 US$ 4 US$ US$ 39.9 US$ US$ 7.7 7.6 40 30.2 24.9 200 US$ US$ 6.1 20 24.2 US$ US$ US$ 9.3 5.3 21.4 US$ 4.4 US$ US$ 2 20 US$ 11.2 14.3 100 US$ 12.2 3 10 US$ US$ 26.5 US$ US$ 24.8 US$ US$ US$ 1.9 17.8 US$ 14.9 1.4 11.9 14.1 US$ 0 0 586.3m 0 0 2013 2014 2015 2016 2017 YTD 2018 2013 2014 2015 2016 2017 YTD 2018

Q1 value Q3 value Volume Buyout value Buyout volume Q2 value Q4 value Exit value Exit volume

mergermarket.com Mergermarket Monthly M&A Insider May 2018 23 C&S America

Regional Trends

Energy, Mining & Utilities Value: US$5.6bn Number of deals: 8 Market share: 60.4%

Business Services Value: US$1.7bn Panama Chile Number of deals: 4 Brazil Market share: 18.5% US$7.2bn US$300m US$392m 1 deal 4 deals Industrials & Chemicals Value: US$1.3bn 16 deals 3.2% 4.2% Number of deals: 5 77.8% Market share: 13.6% Consumer Value: US$495.5m Number of deals: 6 Market share: 5.3%

Financial Services Colombia Peru Value: US$174.6m US$16m Guatemala US$200m Number of deals: 2 2 deals US$178m Argentina 0.2% 1 deal Market share: 1.9% 2 deals 2.2% 1.9% US$970m 3 deals Domestic US$3.8bn +127.5% 10.5% Inbound US$4.2bn +138.4% Outbound US$1bn +953.3%

mergermarket.com Mergermarket Monthly M&A Insider May 2018 24 C&S America

Top deals

Top 10 Announced Deals for April 2018

Value (US$m) Deal details Advisor details

Announcement Target Bidder Dominant sector Sell-side Buy-side date

2,329 17-Apr-18 AES Eletropaulo Enel SpA Energy, Mining & Utilities FA: - FA: Morgan Stanley LA: - LA: -

1,938 5-Apr-18 AES Eletropaulo Energisa SA Energy, Mining & Utilities FA: - FA: Citi LA: - LA: Stocche Forbes Advogados; and Veirano Advogados

1,710 23-Apr-18 SOMOS Educacao SA (73.35% stake) Kroton Educacional SA Business Services FA: - FA: - LA: - LA: -

1,080 24-Apr-18 Whirlpool Corporation (Embraco Nidec Corporation Industrials & Chemicals FA: - FA: JPMorgan compressor business) LA: - LA: Machado Meyer Sendacz e Opice; and Sidley Austin

950 24-Apr-18 Shell Compania Argentina De Petroleo Raizen Energia SA Energy, Mining & Utilities FA: - FA: - SA; and Energia Compania Argentina de LA: - LA: Barbosa, Mussnich & Aragao Petroleo SA

300 16-Apr-18 Ricardo Perez SA (70% stake) Itochu Corporation Consumer FA: - FA: - LA: - LA: -

200 23-Apr-18 Cumbres Andinas SA (40% stake) Inversiones Alxar SA Energy, Mining & Utilities FA: - FA: Evercore Inc LA: - LA: Philippi Prietocarrizosa, Ferrero DU & Uria; and Simpson Thacher & Bartlett

163 4-Apr-18 Compania Minera Quebrada Blanca SA Teck Resources Limited Energy, Mining & Utilities FA: - FA: Evercore (13.5% stake) LA: - LA: Bruchou Fernandez Madero & Lombardi; Creel Garcia-Cuellar, Aiza y Enriquez SC; Latham & Watkins; and Simpson Thacher & Bartlett

155 21-Apr-18 Euroamerica Seguros de Vida SA (Group Zurich Insurance Group Ltd Financial Services FA: - FA: - life and health insurances, individual life LA: - LA: Carey y Cia insurance business); and EuroAmerica Administradora General de Fondos

125 25-Apr-18 Comercializadora y Distribuidora Los Coca-Cola FEMSA SAB de CV Consumer FA: - FA: - Volcanes SA LA: - LA: Willkie Farr & Gallagher

mergermarket.com Mergermarket Monthly M&A Insider May 2018 25 C&S America

League tables

Top 12 Financial Advisors - Value Top 12 Financial Advisors - Volume

Ranking April 2018 April 2017 Ranking April 2018 April 2017

April 2018 April 2017 Company name Value Deal count Value % Value April 2018 April 2017 Company name Value Deal count Deal count Deal count (USD m) (USD m) change (USD m) change 1 - Morgan Stanley 3,298 2 - - 1 - Morgan Stanley 3,298 2 - -

2 2 Citi 3,018 2 1110 171.9% 2 3 Citi 3,018 2 2 0

3 1 Banco Itau BBA 1,710 1 1,123 52.3% 3 1 Banco Itau BBA 1,710 1 3 -2

4 7 JPMorgan 1,080 1 230 369.6% 4 8 JPMorgan 1,080 1 1 0

5= - Jefferies 969 1 - - 5= - Jefferies 969 1 - -

5= - Rabobank 969 1 - - 5= - Rabobank 969 1 - -

7= - Evercore 200 1 - - 7= - Evercore 200 1 - -

7= - Rothschild 200 1 - - 7= - Rothschild 200 1 - -

9 - Econsult 19 1 - - 9 - Econsult 19 1 - -

10= 21 ALANTRA 0 1 0 - 10= 21 ALANTRA 0 1 1 0

10= - Greenhill & Co 0 1 - - 10= - Greenhill & Co 0 1 - -

10= - Translink Corporate Finance 0 1 - - 10= - Translink Corporate Finance 0 1 - -

Top 10 Legal Advisors - Value Top 10 Legal Advisors - Volume

Ranking April 2018 April 2017 Ranking April 2018 April 2017

April 2018 April 2017 Company name Value Deal count Value % Value April 2018 April 2017 Company name Value Deal count Deal count Deal count (USD m) (USD m) change (USD m) change

1 - Linklaters 2,049 2 - - 1 - Linklaters 2,049 2 - -

2= 12 Stocche Forbes Advogados 1,938 1 271 615.1% 2 - Willkie Farr & Gallagher 155 2 - -

2= 61 Veirano Advogados 1,938 1 0 - 3= 9 Stocche Forbes Advogados 1,938 1 2 -1

4= 26 Cleary Gottlieb Steen & Hamilton 1,080 1 59 1,730.5% 3= 61 Veirano Advogados 1,938 1 1 0

4= 13 Machado Meyer Sendacz e Opice 1,080 1 271 298.5% 5= 28 Cleary Gottlieb Steen & Hamilton 1,080 1 1 0

4= - Sidley Austin 1,080 1 - - 5= 18 Machado Meyer Sendacz e Opice 1,080 1 1 0

7= 54 Lefosse Advogados 969 1 0 - 5= - Sidley Austin 1,080 1 - -

7= 31 Morgan Lewis & Bockius 969 1 38 2,450.0% 8= 54 Lefosse Advogados 969 1 1 0

7= 10 Pinheiro Neto Advogados 969 1 292 231.8% 8= 32 Morgan Lewis & Bockius 969 1 1 0

10 42 Barbosa, Mussnich & Aragao 950 1 0 - 8= 8 Pinheiro Neto Advogados 969 1 2 -1

mergermarket.com Mergermarket Monthly M&A Insider May 2018 26 Europe

Part of the Acuris report on global M&A activity

Europe

mergermarket.com Mergermarket Monthly M&A Insider May 2018 27 Europe

Europe

Further information The European economy saw the weakest As such the UK became top dog in Europe, Private equity (PE) activity in April saw Get in touch or read more growth in 18 months, potentially indicating a recording 66.6% of the total deal value and US$4.4bn invested across 56 buyout deals, slowdown in the region. However, European 22.9% of the deal count in April, doubling a dip from the same period last year, which M&A activity in April tells a different story. its market share in deal value from the same saw US$6bn invested across 120 deals. Frederik Lyng Pedersen The activity in April saw robust figures period last year, which saw US$19.6bn targeting However, this year’s April figures represented (US$97.3bn, 319 deals) recording the second the region. The second most targeted country a large decrease from the March 2018 figures highest aggregate monthly deal value for the in Europe was Germany, which saw US$8.2bn (US$24.2bn, 102 deals). A similar picture can region since June 2017 (US$140.7bn, 795 across 42 deals, followed by France which saw be painted when looking at PE exits, which deals). This puts it behind only March 2018 US$3.9bn across 38 deals. recorded US$18.8bn over 76 deals in April (US$161.3bn, 493 deals). last year, which is a significantly higher than The Media sector saw itself as the main the US$10.9bn obtained from settling 48 The majority of the value invested in the region protagonist in this month’s M&A landscape deals this past month. However, April 2018 came from foreign dealmakers, who used as the Comcast Corporation made an official did record a 34.6% increase in deal value US$64.3bn to target 65 European entities, tender offer to acquire Sky for US$40.7bn. obtained from exits compared to March this thus making up 66% of the total deal value in Overall, Media saw US$40.9bn invested into year (US$8.1bn, 61 deals). the region. The inbound deal value has thus it across 16 deals, making it the top sector by seen an increase versus the same period value for the month. While larger economic data might be pointing last year, which accounted for US$30.1bn to a slight slowdown in the European economy, The Comcast offer valued Sky at US$40.7bn across 116 deals. As such, with a potentially policymakers remain confident that annual from an offer price of US$12.5 per share, a unfortunate trade war looming, large foreign European growth will see an upswing. From substantial increase from the 2016 offer from dealmakers could be looking to M&A to looking at M&A data, it seems that dealmakers Twenty-First Century Fox who wanted to buy safeguard their positions in Europe. are of the same opinion and are confident that the remaining stake in Sky for a share price the continent will continue to prosper. One of the big drivers of the heightened deal of US$10.75 per share, though both deals are value in April was a handful of large deals still ongoing. targeting the UK, which meant the UK recorded The aforementioned Sky-Comcast deal wasn’t its second highest April deal value total on the only deal Sky was involved in this month. Mergermarket record (US$64.8bn, 73 deals). The Canada-based online gaming company, This puts its only behind April 2015’s totals Stars Group, made a bid to acquire Sky Betting (US$91.6bn, 109 deals). The UK’s activity in and Gaming for US$5.6bn from CVC Capital April has thus continued its trajectory from the Partners and Sky. The sale could potentially previous months, resulting in the second-best give CVC Capital Partners a hefty exiting YTD figure on Mergermarket record behind return, as they acquired their 80% stake from 2015 (US$157.8bn, 462 deals). Sky in 2014 for US$941m. mergermarket.com Mergermarket Monthly M&A Insider May 2018 28 Europe

319 deals Top Financial Advisor Morgan Stanley valued at US$97.3bn, up 47.9% by value with 279 fewer deals compared to 598 ranked first with 10 deals worth US$65.1bn, compared deals worth US$65.7bn in April 2017. to 8 deals worth US$19.6bn in April 2017.

Top Legal Advisor Top Sector Freshfields Bruckhaus Media Deringer saw 16 deals valued at US$40.9bn, up 652x by value with 3 fewer deals compared to ranked first with 10 deals worth US$58.5bn, 19 deals worth US$617m in April 2017. compared to 14 deals worth US$21bn in April 2017.

Mergermarket.commergermarket.com Mergermarket Monthly M&A Insider May 2018 29 Europe

Europe M&A trend Europe Private Equity trend

1,000 8,000 200 1,600

900 180 7,000 1,400

800 US$ 213.8 160 US$ 6,000 US$ 187.7 1,200 292.4 700 US$ 140 271.3 5,000 1,000 600 US$ Number of deals US$ 211.3 US$ Number of deals 120 158 186 US$ 500 4,000 179.6 100 800 US$ US$ 177.6 US$ Value (US$bn) Value Value (US$bn) Value 177 180.9 US$ US$ US$ 400 158.6 167 80 163.5 3,000 US$ US$ 148.6 600 US$ 142.3 US$ US$ 267.8 137.4 310.5 US$ US$ 300 126.4 US$ 97.3 60 262.5 US$ 198.1 2,000 US$ US$ US$ 400 201 96.6 200 91.5 40

US$ 1,000 267.6 100 US$ US$ 200 US$ US$ 211.2 20 178.8 US$ 39.8 US$ 163.9 174.2 136.3 US$ 18 0 0 0 0 2013 2014 2015 2016 2017 YTD 2018 2013 2014 2015 2016 2017 YTD 2018

Q1 value Q3 value Volume Buyout value Buyout volume Q2 value Q4 value Exit value Exit volume

mergermarket.com Mergermarket Monthly M&A Insider May 2018 30 Europe

Regional Trends

Media Value: US$40.9bn Number of deals: 16 Market share: 42%

Consumer Spain Value: US$10.4bn United Kingdom US$3.7bn France Number of deals: 47 Market share: 10.7% US$64.8bn 10 deals US$3.9bn 3.8% 28 deals Pharma, Medical & Biotech 73 deals Value: US$7.9bn 4% Number of deals: 24 66.6% Market share: 8%

Leisure Value: US$7.1bn Number of deals: 20 Market share: 7.3%

Industrials & Chemicals Germany Value: US$6.3bn Sweden Number of deals: 61 US$8.2bn US$3.2bn Market share: 6.5% 13 deals 42 deals 3.3% 8.4% Domestic US$33.1bn -7.41% Inbound US$64.3bn +113.6% Outbound US$19bn +56.2%

mergermarket.com Mergermarket Monthly M&A Insider May 2018 31 Europe

Top deals

Top 10 Announced Deals for April 2018

Value (US$m) Deal details Advisor details

Announcement Target Bidder Dominant sector Sell-side Buy-side date

10,048 30-Apr-18 ASDA Group Limited J Sainsbury Plc Consumer FA: Rothschild FA: Morgan Stanley; and UBS Investment Bank LA: Gibson Dunn & Crutcher; and Slaughter and May LA: Linklaters

4,204 19-Apr-18 Merck KGaA (Consumer health Procter & Gamble Company Pharma, Medical & FA: goetzpartners; and JPMorgan FA: - business) Biotech LA: Freshfields Bruckhaus Deringer LA: Jones Day

3,240 18-Apr-18 Direct Energie SA Total SA Energy, Mining & Utilities FA: Rothschild FA: Lazard; and Societe Generale LA: Bredin Prat LA: Cleary Gottlieb Steen & Hamilton

3,114 5-Apr-18 Hispania Activos Inmobiliarios Blackstone Group LP Real Estate FA: Goldman Sachs & Co; JPMorgan; and UBS Investment Bank FA: Morgan Stanley SOCIMI SA (83.44% stake) LA: Freshfields Bruckhaus Deringer; and Uria Menendez LA: Kirkland & Ellis; and Osler, Hoskin & Harcourt

2,400 16-Apr-18 Shire Plc (Oncology business) Les Laboratoires Servier SAS Pharma, Medical & FA: - FA: Lazard Biotech LA: Davis Polk & Wardwell LA: Baker McKenzie

2,065 26-Apr-18 Bayer AG (Additional crop BASF SE Industrials & Chemicals FA: Bank of America Merrill Lynch; and Credit Suisse FA: - science business) LA: Baker McKenzie; Cohen & Grigsby; Dentons; Noerr; Redeker Sellner LA: - Dahs & Widmaier; and Sullivan & Cromwell

2,041 20-Apr-18 Fidessa Group Plc ION Investment Group Limited Technology FA: - FA: UBS Investment Bank LA: - LA: -

2,021 1-Apr-18 Victoria Park AB Starwood Capital Group Real Estate FA: Handelsbanken Capital Markets FA: Carnegie Investment Bank; and Pangea Property Partners LA: - LA: Linklaters

mergermarket.com Mergermarket Monthly M&A Insider May 2018 32 Europe

League tables

Top 10 Financial Advisors - Value Top 10 Financial Advisors - Volume

Ranking April 2018 April 2017 Ranking April 2018 April 2017

April 2018 April 2017 Company name Value Deal count Value % Value April 2018 April 2017 Company name Value Deal count Deal count Deal count (USD m) (USD m) change (USD m) change

1 3 Morgan Stanley 65,113 10 19,696 230.6% 1 1 Rothschild 22,639 16 21 -5

2 - PJT Partners 46,296 2 - - 2 8 Goldman Sachs & Co 27,229 15 11 4

3 15 Barclays 46,185 5 2,100 2,099.3% 3 4 PwC 1,113 11 19 -8

4 5 Bank of America Merrill Lynch 45,168 6 17,498 158.1% 4 11 Morgan Stanley 65,113 10 8 2

5 25 Evercore 42,251 5 1,302 3,145.1% 5 9 Lazard 14,069 10 10 0

6 - Robey Warshaw 40,709 1 - - 6 24 UniCredit Group 12 9 4 5

7 1 Goldman Sachs & Co 27,229 15 22,161 22.9% 7 2 EY 453 7 20 -13

8 2 Rothschild 22,639 16 20,041 13.0% 8 5 Deloitte 20 7 15 -8

9 13 UBS Investment Bank 17,526 5 3,276 435.0% 9 3 KPMG 8 7 20 -13

10 17 Lazard 14,069 10 1,979 610.9% 10 10 Bank of America Merrill Lynch 45,168 6 9 -3

Top 10 Legal Advisors - Value Top 10 Legal Advisors - Volume

Ranking April 2018 April 2017 Ranking April 2018 April 2017

April 2018 April 2017 Company name Value Deal count Value % Value April 2018 April 2017 Company name Value Deal count Deal count Deal count (USD m) (USD m) change (USD m) change

1 1 Freshfields Bruckhaus Deringer 58,559 10 21,048 178.2% 1 21 Kirkland & Ellis 14,166 13 8 5

2 6 Davis Polk & Wardwell 43,109 3 13,269 224.9% 2 10 Freshfields Bruckhaus Deringer 58,559 10 14 -4

3 49 Shearman & Sterling 40,709 3 1,285 3,068.0% 3 1 Linklaters 16,080 10 25 -15

4 4 Linklaters 16,080 10 15,041 6.9% 4 6 Allen & Overy 2,239 7 16 -9

5 99 Gibson Dunn & Crutcher 15,708 5 370 4,145.4% 5 117 Roschier 802 7 2 5

6 13 Kirkland & Ellis 14,166 13 7,377 92.0% 6 7 Jones Day 4,687 6 16 -10

7 27 Osler, Hoskin & Harcourt 13,826 3 3,193 333.0% 7 64 Gleiss Lutz 2,073 6 4 2

8 8 Sullivan & Cromwell 11,673 5 11,804 -1.1% 8 2 DLA Piper 1,132 6 22 -16

9 14 Slaughter and May 10,048 1 6,534 53.8% 9 3 CMS 651 6 21 -15

10 - Stikeman Elliott 9,595 3 - - 10 76 Gibson Dunn & Crutcher 15,708 5 4 1

mergermarket.com Mergermarket Monthly M&A Insider May 2018 33 Middle East & Africa

Part of the Acuris report on global M&A activity

Middle East & Africa

mergermarket.com Mergermarket Monthly M&A Insider May 2018 34 Middle East & Africa

Middle East & Africa

Further information M&A activity in the Middle East & Africa (MEA) Following a turbulent few months politically, only US$316m on a YTD basis. This slowdown Get in touch or read more amounted to a total of US$1bn in April, the South African M&A is picking up. Two deals could be partly attributable to the trade lowest monthly value so far this year. However, worth US$276m were announced last month, concerns raised by the US in recent months, on a year-to-date (YTD) basis, 98 deals worth which is already ahead of the US$205m prompting dealmakers in the Industrials & Mohamed Rais US$16.3bn have been announced, rendering recorded in the first quarter of the year Chemicals sector to hold M&A plans until the the first four months as the third best in terms (11 deals). This ranks South Africa as the situation is resolved. of value since 2011. third best regional performer in terms of value in April. The largest transaction was for a Dealmaking in the UAE continues to perform 67% stake in construction company Murray & well, with four deals worth US$285m Roberts bought by German-based investment announced in April, making it the region’s firm ATON. second best performer by value following the US$272m takeover of equipment rental services Inbound activity has kept up the pace seen company Byrne. This was the second largest in previous months, with 10 deals worth deal targeting the MEA region during April. US$1bn being announced, just shy of the US$1.4bn and US$1.3bn seen in January M&A in the UAE is likely to continue to be and February respectively. The most active active, with the GCC country becoming countries investing into MEA were India, with a regional hub for foreign investors who the aforementioned US$329m oil field stake are looking at Africa with renewed interest, acquisition, followed by Hong Kong with according to panelists at the Acuris MENA US$272m attributable to the UAE’s Byrne deal, Mergers conference. This is because Dubai, and finally Germany with US$264m invested the country’s financial capital, offers a well- in South African firm Murray & Roberts. regulated business environment paired with enough logistical means for private equity Sector-wise, Energy, Mining & Utilities has players, investment bankers and the like been the best performer by value yet again to easily scout potential targets in nearby with US$337m across two deals, followed by economies. Oman, another GCC member, Financial Services, which recorded US$272m ranked first in terms of deal value in the attributable to UAE’s Byrne deal. Construction region in April with US$329m, a total that ranked third with US$264m, propelled by the can be attributed to the sale of a 17% stake Murray & Roberts deal. Industrials & Chemicals, on the Mukhaizna oil field by Shell to Indian a historical top performer in the region, saw Oil Corporation. investments of only US$13m during April, and

mergermarket.com Mergermarket Monthly M&A Insider May 2018 35 Middle East & Africa

Top Financial Advisor 14 deals Rothschild valued at US$1bn, down 40.4% by value with 17 fewer deals compared to 31 deals worth US$1.7bn in April 2017. ranked first with 1 deal worth US$329m, compared to 3 deals worth US$279m in April 2017.

Top Sector Top Legal Advisor Energy, Mining Clifford Chance & Utilities ranked first with 1 deal worth US$272m, compared to 0 deals in April 2017. saw 2 deals valued at US$337m, down 15.2% by value with 5 fewer deals compared to 7 deals worth US$400m in April 2017.

Mergermarket.commergermarket.com Mergermarket Monthly M&A Insider May 2018 36 Middle East & Africa

Middle East & Africa M&A trend Middle East & Africa Private Equity trend

100 500 14 80

90 450 70 12

80 US$ 400 22.1 60 70 350 10

50 60 300 Number of deals Number of deals US$ US$ 8 15.5 11.1 US$ 50 34.8 250 US$ 40 24.5 US$ Value (US$bn) Value Value (US$bn) Value 11.7 US$ US$ 6 12.1 40 13.7 200 30 US$ US$ 9.7 US$ 20.4 30 9.6 150 4 US$ 7.4 US$ 20 US$ US$ 6.7 21.6 US$ US$ 20 6.1 24.7 US$ 100 5.9 1 US$ US$ US$ 19.3 US$ 4.9 US$ 29.6 2 US$ US$ 4.7 9.4 3.9 3.8 US$ 10 10 50 US$ 3.1 US$ US$ US$ 15.3 2.4 US$ US$ 551m US$ 12.4 US$ 342m 7.2 8.4 9.6 0 0 0 0 2013 2014 2015 2016 2017 YTD 2018 2013 2014 2015 2016 2017 YTD 2018

Q1 value Q3 value Volume Buyout value Buyout volume Q2 value Q4 value Exit value Exit volume

mergermarket.com Mergermarket Monthly M&A Insider May 2018 37 Middle East & Africa

Regional Trends

Energy, Mining & Utilities Value: US$337m Number of deals: 2 Market share: 32.6%

Financial Services Israel Value: US$272m US$137m South Africa Number of deals: 1 Oman Market share: 26.3% US$329m 4 deals US$276m 13.2% 2 deals Construction Value: US$264m 1 deal 26.7% Number of deals: 1 31.8% Market share: 25.5% Technology Value: US$143m Number of deals: 2 Market share: 13.8%

Industrials & Chemicals United Arab Value: US$13m Number of deals: 2 Emirates Market share: 1.2% US$285m 4 deals Domestic US$12m -98.8% 27.5% Inbound US$1bn +34.4% Outbound US$336m -98.1%

mergermarket.com Mergermarket Monthly M&A Insider May 2018 38 Middle East & Africa

Top deals

Top 9 Announced Deals for April 2018

Value (US$m) Deal details Advisor details

Announcement Target Bidder Dominant sector Sell-side Buy-side date

329 5-Apr-18 Mukhaizna Oil Field (17% stake) Indian Oil Corporation (IOC) Energy, Mining & Utilities FA: Rothschild FA: - LA: - LA: -

272 17-Apr-18 Byrne Equipment Rental CITIC Limited; VPower Group International Financial Services FA: - FA: - Holdings Limited; and Sheikh Hamad Al LA: - LA: Clifford Chance Sulaiman (Private investor)

264 9-Apr-18 Murray & Roberts Holdings Limited ATON GmbH Construction FA: Deutsche Bank FA: Macquarie Group (66.93% stake) LA: Webber Wentzel LA: Bowmans; and Hengeler Mueller

100 10-Apr-18 Cyber Secdo Ltd Palo Alto Networks Inc Technology FA: - FA: - LA: - LA: -

31 17-Apr-18 Applitools Ltd Sierra Ventures; Magma Venture Partners; Technology FA: - FA: - OpenView Venture Partners; La Maison; and LA: - LA: - iAngels Crowd Ltd

13 2-Apr-18 Frigoglass Jebel Ali FZCO ATG Investments Limited Industrials & Chemicals FA: - FA: - LA: - LA: -

12 25-Apr-18 AccTech Systems Proprietary Limited; and 4Sight Holdings Limited Technology FA: - FA: Arbor Capital Dynamics Africa Services Proprietary Limited LA: - LA: -

8 23-Apr-18 Oryx Petroleum Corporation Limited (Haute Total SA Energy, Mining & Utilities FA: - FA: - Mer B exploration license offshore Congo LA: - LA: - (Brazzaville)) (30% stake)

6 16-Apr-18 MAN Properties Real estate Consultants Ltd CBRE Group Inc Real Estate FA: - FA: - LA: - LA: -

mergermarket.com Mergermarket Monthly M&A Insider May 2018 39 Middle East & Africa

League tables

Top 5 Financial Advisors - Value Top 5 Financial Advisors - Volume

Ranking April 2018 April 2017 Ranking April 2018 April 2017

April 2018 April 2017 Company name Value Deal count Value % Value April 2018 April 2017 Company name Value Deal count Deal count Deal count (USD m) (USD m) change (USD m) change

1 6 Rothschild 329 1 279 17.9% 1 1 Rothschild 329 1 3 -2

2= - Deutsche Bank 264 1 - - 2= - Deutsche Bank 264 1 - -

2= - Macquarie Group 264 1 - - 2= - Macquarie Group 264 1 - -

4 - Arbor Capital 12 1 - - 4 - Arbor Capital 12 1 - -

5 4 Barclays 0 1 329 -100.0% 5 5 Barclays 0 1 1 0

Top 6 Legal Advisors - Value Top 6 Legal Advisors - Volume

Ranking April 2018 April 2017 Ranking April 2018 April 2017

April 2018 April 2017 Company name Value Deal count Value % Value April 2018 April 2017 Company name Value Deal count Deal count Deal count (USD m) (USD m) change (USD m) change

1 - Clifford Chance 272 1 - - 1 - Clifford Chance 272 1 - -

2= 13 Bowmans 264 1 80 230.0% 2= 14 Bowmans 264 1 1 0

2= - Hengeler Mueller 264 1 - - 2= - Hengeler Mueller 264 1 - -

2= 9 Webber Wentzel 264 1 167 58.1% 2= 2 Webber Wentzel 264 1 3 -2

5= - Ashurst 0 1 - - 5= - Ashurst 0 1 - -

5= - Dentons 0 1 - - 5= - Dentons 0 1 - -

mergermarket.com Mergermarket Monthly M&A Insider May 2018 40 Asia-Pacific (excluding Japan)

Part of the Acuris report on global M&A activity

Asia-Pacific (excluding Japan)

mergermarket.com Mergermarket Monthly M&A Insider May 2018 41 Asia-Pacific (excluding Japan)

Asia-Pacific (excluding Japan)

Further information Asia-Pacific (excluding Japan) M&A posted Domestic M&A activity across the Asia-Pacific deals in contrast with the same period last Get in touch or read more a strong performance in April. The month’s region (excluding Japan) hit a historical year (US$34.1bn, 144 deals). Looking closer, value climbed to US$59.5bn across 264 high on both value and deal count, marking the Consumer sector saw a 43% drop and deals, representing a 15.6% increase in value US$38.3bn across 213 deals. This represented nine fewer deals versus January to April 2017 Jasmine Wu compared to April 2017 (US$51.5bn, 278 a 143.8% increase on value and 14 more deals (US$6bn, 24 deals), reaching only US$3.4bn deals) and the third consecutive year-on-year versus April last year (US$15.7bn, 199 deals). across 15 deals. growth for April value since 2016 (US$44.2bn, Meanwhile, inbound M&A to Asia-Pacific PE exit activity in Asia-Pacific (excluding Japan) 295 deals). (excluding Japan) slumped by 51% on value witnessed the highest April value (US$11.6bn) in the past month, to US$5.1bn (38 deals), The value increase of the past month was and deal count (23 deals) on Mergermarket from the US$10.3bn recorded in April 2017 largely driven by Bharti Infratel’s US$10.6bn record (since 2001), accounting for respective (45 deals). Outbound activity decreased acquisition of Indus Towers (India) as well as 709% and 113.3% increases versus April last dramatically in April as well. Only 30 deals were Alibaba Group Holding’s and Ant Financial year (US$1.4bn, 17 deals) and the second announced for a total of US$3.3bn, which was Services Group’s US$9.5bn acquisition of highest April value since 2015 (US$5.4bn, 66.1% lower compared to the equivalent point Ele.me. The year-to-date value in the region 16 deals). last year (US$9.6bn, 45 deals). reached US$218.4bn across 1,128 deals, which marked respective 15.8% and 18.3% increases Looking at activity by individual countries, versus the same period in 2017 (US$188.6bn, China and India led the way due to their 1,130 deals) and 2016 (US$184.6bn, 1,119 deals). involvement in the region’s two largest deals of the month. Thanks in part to the Technology was the most targeted sector in aforementioned Alibaba-Ele.me deal, China April by value, reaching US$16.9bn (38 deals), once again dominated regional activity by value which represented a 53.6% increase compared with a 63.6% market share, earning US$37.8bn to the same month last year (US$11bn, 38 across 136 deals. India placed second with deals). Industrials & Chemicals in Asia-Pacific US$14.1bn, much of which was related to the (excluding Japan) proved to be the top Bharti Infratel-Indus Towers deal, a strategic sector by deal count (US$6.4bn, 70 deals) tie-up between India-based providers of in the past month with 17 more deals, though infrastructure services to telecom operators. value dropped 3.7% compared to April 2017 (US$6.7bn, 53 deals,). Industrials & Chemicals The region’s private equity (PE) buyout activity also led all sectors in both value (US$37.2bn) in April dropped down to US$4.8bn (19 deals), and deal count (249 deals) from January to decreasing by 72.7% on value compared April this year, posting a 32.6% increase in to the same month in 2017 (US$17.6bn, 46 value and 29 more deals than the same period deals). YTD buyouts (US$30.6bn, 121 deals) last year (US$28.1bn, 220 deals). slumped 10.5% on value and saw 23 fewer mergermarket.com Mergermarket Monthly M&A Insider May 2018 42 Asia-Pacific (excluding Japan)

264 deals Top Financial Advisor JPMorgan valued at US$59.5bn, up 15.6% by value with 14 fewer deals compared to 278 deals ranked first with 2 deals worth US$12bn, compared worth US$51.5bn in April 2017. to 4 deals worth US$886m in April 2017.

Top Legal Advisor Top Sector Technology Fangda Partners ranked first with 4 deals worth US$14.7bn, compared saw 38 deals valued at US$16.9bn, up 53.6% by value on to 6 deals worth US$6.3bn in April 2017. the same number of deals worth US$11bn in April 2017.

Mergermarket.commergermarket.com Mergermarket Monthly M&A Insider May 2018 43 Asia-Pacific (excluding Japan)

Asia-Pacific (excluding Japan) M&A trend Asia-Pacific (excluding Japan) Private Equity trend

900 4,000 140 500

800 450 3,500 120 US$ 296.5 400 700 3,000

100 350 600 US$ US$ 240.2 2,500 178.3 Number of deals Number of deals 300 US$ 500 US$ 80 172.1 157.6 2,000 250 400 US$ Value (US$bn) Value Value (US$bn) Value US$ 126 172.8 US$ 60 US$ US$ 172.8 200 115.2 139.8 1,500 US$ US$ 300 232.8 US$ 94.3 92.1 US$ 150 40 US$ US$ 59.5 US$ 118.1 US$ 1,000 74 200 US$ 70.5 US$ 149.9 140.1 169.4 US$ 56.7 100 US$ US$ US$ 45 20 42 100 107.9 US$ 500 US$ US$ US$ 218.4 US$ 30.6 34.2 30.6 196.1 US$ US$ US$ 50 US$ 140.4 137.1 24.1 US$ 114.9 68.5 0 0 0 0 2013 2014 2015 2016 2017 YTD 2018 2013 2014 2015 2016 2017 YTD 2018

Q1 value Q3 value Volume Buyout value Buyout volume Q2 value Q4 value Exit value Exit volume

mergermarket.com Mergermarket Monthly M&A Insider May 2018 44 Asia-Pacific (excluding Japan)

Regional Trends

Technology Value: US$16.9bn Number of deals: 38 Market share: 28.4%

Business Services Value: US$11.5bn China India Number of deals: 26 US$37.8bn US$14.1bn Market share: 19.4% Industrials & Chemicals 136 deals 27 deals Value: US$6.4bn Australia Number of deals: 70 63.6% 23.7% US$2.5bn Market share: 10.8% 25 deals Financial Services 4.1% Value: US$6.3bn Number of deals: 13 Market share: 10.6%

Taiwan Transportation US$0.6bn Value: US$5.4bn 3 deals Number of deals: 10 1% South Korea Market share: 9% US$2.7bn 30 deals 4.5% Domestic US$38.3bn +143.8% Inbound US$5.1bn -51% Outbound US$3.3bn -66.1%

mergermarket.com Mergermarket Monthly M&A Insider May 2018 45 Asia-Pacific (excluding Japan)

Top deals

Top 10 Announced Deals for April 2018

Value (US$m) Deal details Advisor details

Announcement Target Bidder Dominant sector Sell-side Buy-side date

9,500 2-Apr-18 Ele.me Alibaba Group Holding Ltd; and Ant Financial Business Services FA: Hina Group Inc FA: - Services Group LA: - LA: Fangda Partners

3,700 4-Apr-18 Beijing Mobike Technology Meituan Group Transportation FA: China Renaissance Partners FA: - Co Ltd LA: Fangda Partners LA: -

3,358 25-Apr-18 COFCO Capital Investment Zhongyuan Special Steel Co Ltd Financial Services FA: - FA: China Securities Co Ltd LA: - LA: JiaYuan Law Offices

1,900 24-Apr-18 Manbang Group Consortium of investors led by China Reform Technology FA: - FA: - Fund and Softbank LA: - LA: -

1,697 3-Apr-18 China Continent Property and China International Capital Corporation Financial Services FA: China International Capital Corporation Limited; and UBS FA: - Casualty Insurance Company Ltd Limited; China Eastern Airlines Corporation Securities LA: - (31% stake) Limited; New China Life Insurance Co Ltd; LA: - China General Technology (Group) Holding Co Ltd; SAIC Motor Corporation Limited; Navinfo Co Ltd; Ningbo Development & Investment Group Co Ltd; and Jiangsu Yunshan Capital Management Co Ltd

1,663 2-Apr-18 Ostro Energy Private Limited ReNew Power Ventures Pvt. Ltd Energy, Mining & Utilities FA: Bank of America Merrill Lynch FA: Goldman Sachs & Co LA: Trilegal LA: -

1,331 6-Apr-18 eHi Car Services Limited A consortium led by MBK Partners and Business Services FA: Duff & Phelps FA: - (70.44% stake) Ray Zhang LA: Fenwick & West; Maples and Calder; and O’Melveny & Myers LA: Conyers Dill & Pearman; Fangda Partners; and Weil Gotshal & Manges

1,316 24-Apr-18 COFCO Biofuel Holdings COFCO Biochemical (Anhui) Co Ltd Consumer FA: - FA: China International Capital Corporation Limited Limited; COFCO Biochemical LA: - LA: JunHe Holdings Limited; and Widepower Investments Limited

1,192 12-Apr-18 E-Commerce China Dangdang HNA Technology Co Ltd Technology FA: China International Capital Corporation Limited FA: Haitong Securities Inc; and Beijing Dangdang Kewen LA: - LA: King & Wood Mallesons E-Commerce Co Ltd

mergermarket.com Mergermarket Monthly M&A Insider May 2018 46 Asia-Pacific (excluding Japan)

League tables

Top 10 Financial Advisors - Value Top 10 Financial Advisors - Volume

Ranking April 2018 April 2017 Ranking April 2018 April 2017

April 2018 April 2017 Company name Value Deal count Value % Value April 2018 April 2017 Company name Value Deal count Deal count Deal count (USD m) (USD m) change (USD m) change

1 27 JPMorgan 11,984 2 886 1,252.6% 1 11 Deloitte 1,069 7 4 3

2 - Hina Group 9,500 2 - - 2 7 Goldman Sachs & Co 2,298 5 4 1

3 - Morgan Stanley 4,629 3 - - 3 26 China International Capital 4,336 4 2 2

4 12 China International Capital 4,336 4 2,352 84.4% 4 16 Rothschild 2,275 4 3 1

5 42 China Renaissance Partners 3,700 1 436 748.6% 5 29 Citi 819 4 2 2

6 28 China Securities 3,393 2 861 294.1% 6 - Morgan Stanley 4,629 3 - -

7 1 Bank of America Merrill Lynch 2,850 2 9,307 -69.4% 7 18 Haitong Securities 1,798 3 3 0

8 7 Goldman Sachs & Co 2,298 5 4,294 -46.5% 8 27 CITIC Securities 880 3 2 1

9 37 Rothschild 2,275 4 529 330.1% 9 3 EY 710 3 9 -6

10 33 Huatai Securities 2,012 2 760 164.7% 10 12 Deutsche Bank 547 3 3 0

Top 11 Legal Advisors - Value Top 10 Legal Advisors - Volume

Ranking April 2018 April 2017 Ranking April 2018 April 2017

April 2018 April 2017 Company name Value Deal count Value % Value April 2018 April 2017 Company name Value Deal count Deal count Deal count (USD m) (USD m) change (USD m) change

1 5 Fangda Partners 14,686 4 6,256 134.8% 1 7 King & Wood Mallesons 2,168 7 8 -1

2 71 AZB & Partners 10,972 4 391 2,706.1% 2 26 Clifford Chance 1,040 6 4 2

3= 157 S&R Associates 4,472 1 8 55,800.0% 3 13 Fangda Partners 14,686 4 6 -2

3= 15 Slaughter and May 4,472 1 2,945 51.9% 4 12 AZB & Partners 10,972 4 7 -3

5 82 JiaYuan Law Offices 3,501 2 279 1,154.8% 5 36 Ashurst 848 4 3 1

6 18 King & Wood Mallesons 2,168 7 2,701 -19.7% 6 28 AllBright Law Offices 725 4 4 0

7 60 Trilegal 1,663 1 647 157.0% 7 35 Weil Gotshal & Manges 1,661 3 3 0

8 27 Weil Gotshal & Manges 1,661 3 1,903 -12.7% 8 54 Gilbert + Tobin 1,373 3 2 1

9 61 Gilbert + Tobin 1,373 3 617 122.5% 9 2 Herbert Smith Freehills 370 3 12 -9

10= - Dorda Brugger Jordis 1,336 1 - - 10 22 DLA Piper 360 3 5 -2

10= 167 Gleiss Lutz 1,336 1 0 - mergermarket.com Mergermarket Monthly M&A Insider May 2018 47 Japan

Part of the Acuris report on global M&A activity

Japan

mergermarket.com Mergermarket Monthly M&A Insider May 2018 48 Japan

Japan

Further information M&A activity in Japan over the past month Japan’s YTD outbound decrease was Tochi-Tatemono will hold 20% and 5% stakes Get in touch or read more soared to US$4.9bn across 23 deals, accounting largely attributed to dealmakers’ declining respectively in the property development and for a 48.2% increase compared to April 2017 investments into the US. Though the US real estate services firm while Kobe Steel will (US$3.3bn, 47 deals). Though volume dropped remained the most targeted outbound country retain a 25% stake. Jasmine Wu by 24 deals, value was largely supported by by both value (US$11.5bn) and deal count Private equity activity witnessed a gloomy April Itochu Corporation’s US$3.4bn acquisition of (21 deals), each slumped 32.6% by value in Japan. Only two buyouts were recorded last FamilyMart UNY Holdings. A similar trend can and 20 fewer deals compared to the first month, worth US$87.5m, an 88.3% decrease by be seen in the accumulated year-to-date (YTD) four months of 2017 (US$17.1bn, 41 deals). value compared to the same month last year M&A activity in Japan this year, which totaled Fueled largely by the aforementioned Itochu- (US$749.8m, four deals). Exits were similarly US$14bn among 147 deals, and rose by 13.6% FamilyMart deal, Japan M&A targeting deflated with only three being recorded for on value compared to the same period last year the Consumer sector saw six deals worth US$145m, marking a 63.1% decline compared (US$12.3bn, 172 deals). US$3.5bn, representing a more than 10X to April 2017’s US$391.7m (five deals). Japan’s outbound M&A in the past month fell increase versus the US$0.3bn (over eight 78.1% on value and dropped by 12 deals to deals) recorded in April 2017. The sector earned US$2.9bn across 19 deals compared to the 72.3% of market share over the past month and same month last year (US$13.4bn, 31 deals). led all sectors in both value and deal count. Thanks to the US$8.6bn acquisition initiated Industrials & Chemicals remained the most by Fujifilm Holdings Corporation for Xerox targeted sector by volume from January to Corporation (USA) announced at the start April 2018, but it slumped 29.9% on value to of the year, the YTD outbound value reached US$2.4bn (33 deals) when compared to the US$16bn across 42 deals, accounting for a first four months of 2017 (US$3.4bn, 46 deals). 35.2% increase in value when compared with While the Real Estate sector witnessed only the equivalent period last year (US$11.9bn, two deals over the past month, the sector 55 deals). placed second overall by value, thanks in Technology was the only outbound sector large part to the second-largest deal of the that witnessed growth in both value and deal month. In late April, Japanese real estate firms count, fetching US$14.8bn across 15 deals Tokyo Century and Nippon Tochi-Tatemono from January to April 2018, which represents purchased a 75% stake in Kobe Steel’s real a 2.5X increase on value versus the US$5.8bn estate unit, Shinko Real Estate, for US$681m. (13 deals) recorded in this period last year. Going forward, Tokyo Century and Nippon

mergermarket.com Mergermarket Monthly M&A Insider May 2018 49 Japan

Top Financial Advisor 23 deals Sumitomo Mitsui valued at US$4.9bn, up 48.2% by value Financial Group with 24 fewer deals compared to 47 deals worth US$3.3bn in April 2017. ranked first with 4 deals worth US$62.4bn, compared to 7 deals worth US$3bn in April 2017.

Top Legal Advisor Top Sector Pillsbury Winthrop Consumer Shaw Pittman saw 6 deals valued at US$3.5bn, up 1,072.3% by value with 2 fewer deals compared to ranked first with 2 deals worth US$59bn, 8 deals worth US$302.5m in April 2017. compared to 1 deal worth US$18m in April 2017.

Mergermarket.commergermarket.com Mergermarket Monthly M&A Insider May 2018 50 Japan

Japan M&A trend Japan Private Equity trend

80 500 18 60

70 16

50 400 14 60 US$ 35.3 US$ 15.2 12 40 50 300 Number of deals Number of deals

40 US$ 30 17.1 US$ 10.4 US$ Value (US$bn) Value Value (US$bn) Value 8 16.1 US$ 200 7.3 30 US$ US$ 21.6 US$ 9.4 6 US$ 20 4.8 US$ US$ 11.4 13.5 18.8 US$ 20 5.1 4 US$ US$ 100 7.7 15.2 US$ US$ US$ 9.1 US$ 6.5 10 10.8 US$ 5.3 4.9 10 US$ US$ US$ US$ 17.1 2 4.7 US$ 4 3.7 4.2 US$ US$ US$ US$ US$ US$ 2.6 US$ US$ 2.1 641m 8.1 7.1 9.1 9 9.1 US$ 0 0 943m 0 0 2013 2014 2015 2016 2017 YTD 2018 2013 2014 2015 2016 2017 YTD 2018

Q1 value Q3 value Volume Buyout value Buyout volume Q2 value Q4 value Exit value Exit volume

mergermarket.com Mergermarket Monthly M&A Insider May 2018 51 Japan

Regional Trends

Consumer Value: US$3.5bn Number of deals: 6 Market share: 72.3%

Real Estate Value: US$681m Number of deals: 2 Market share: 13.9%

Energy, Mining & Utilities Value: US$213m Number of deals: 1 Market share: 4.3% Domestic Inbound Outbound US$88m Industrials & Chemicals US$4.8bn US$2.9bn Value: US$177m -90% Number of deals: 4 +98.2% -78.1% Market share: 3.6%

Technology Value: US$134m Number of deals: 5 Market share: 2.7%

mergermarket.com Mergermarket Monthly M&A Insider May 2018 52 Japan

Top deals

Top 10 Announced Deals for April 2018

Value (US$m) Deal details Advisor details

Announcement Target Bidder Dominant sector Sell-side Buy-side date

3,435 19-Apr-18 FamilyMart UNY Holdings Co Ltd (8.65% stake) Itochu Corporation Consumer FA: Sumitomo Mitsui Financial Group FA: Nomura Holdings LA: Mori Hamada & Matsumoto LA: Nishimura & Asahi

681 27-Apr-18 Shinko Real Estate Co Ltd (75% stake) Tokyo Century Corporation; and Real Estate FA: Mizuho Financial Group FA: - Nippon Tochi-Tatemono Co Ltd LA: LA: -

213 19-Apr-18 Haseko Anesis Corporation (Bulk power receiving The Kansai Electric Power Co Inc Energy, Mining & Utilities FA: - FA: - business for condominiums) LA: - LA: -

133 27-Apr-18 TTK Co Ltd (98.13% stake) Mirait Holdings Corporation Construction FA: Nomura Holdings FA: Mizuho Financial Group LA: TMI Associates LA: Anderson Mori & Tomotsune; and Shibata, Suzuki & Nakada

130 17-Apr-18 Asahi Tec Corporation Topy Industries Limited Industrials & Chemicals FA: Nomura Holdings FA: Mizuho Financial Group LA: LA: Nishimura & Asahi

97 24-Apr-18 Avon Products Company Limited Ginza Stefany Inc Consumer FA: - FA: Nomura Holdings LA: - LA: -

88 13-Apr-18 Nhosa Corporation CLSA Capital Partners Technology FA: - FA: - LA: - LA: -

33 6-Apr-18 Coincheck Inc Monex Group Inc Technology FA: - FA: - LA: - LA: -

24 2-Apr-18 Santoku Corporation (69.4% stake) Hitachi Metals Ltd Industrials & Chemicals FA: - FA: - LA: - LA: -

23 16-Apr-18 Toshiba Security Guard Corporation Secom Co Ltd Industrials & Chemicals FA: - FA: Sumitomo Mitsui Financial Group (80.1% stake) LA: - LA: -

mergermarket.com Mergermarket Monthly M&A Insider May 2018 53 Japan

League tables

Top 10 Financial Advisors - Value Top 12 Financial Advisors - Volume

Ranking April 2018 April 2017 Ranking April 2018 April 2017

April 2018 April 2017 Company name Value Deal count Value % Value April 2018 April 2017 Company name Value Deal count Deal count Deal count (USD m) (USD m) change (USD m) change 1 4 Sumitomo Mitsui Financial Group 62,403 4 2,971 2,000.4% 1 1 Nomura Holdings 3,795 6 13 -7

2 11 Mizuho Financial Group 59,889 4 606 9,782.7% 2 2 Sumitomo Mitsui Financial Group 62,403 4 7 -3

3= - Centerview Partners 58,945 1 - - 3 3 Mizuho Financial Group 59,889 4 5 -1

3= 5 Deutsche Bank 58,945 1 1,245 4,634.5% 4 - Frontier Management 83 2 - -

3= - Evercore 58,945 1 - - 5= - Centerview Partners 58,945 1 - -

3= 20 Goldman Sachs & Co 58,945 1 135 43,563.0% 5= 13 Deutsche Bank 58,945 1 1 0

3= 2 JPMorgan 58,945 1 4,356 1,253.2% 5= - Evercore 58,945 1 - -

3= 16 Morgan Stanley 58,945 1 228 25,753.1% 5= 21 Goldman Sachs & Co 58,945 1 1 0

3= - PJT Partners 58,945 1 - - 5= 8 JPMorgan 58,945 1 2 -1

3= - Raine Group 58,945 1 - - 5= 20 Morgan Stanley 58,945 1 1 0

5= - PJT Partners 58,945 1 - -

5= - Raine Group 58,945 1 - -

Top 12 Legal Advisors - Value Top 13 Legal Advisors - Volume

Ranking April 2018 April 2017 Ranking April 2018 April 2017

April 2018 April 2017 Company name Value Deal count Value % Value April 2018 April 2017 Company name Value Deal count Deal count Deal count (USD m) (USD m) change (USD m) change 1 55 Pillsbury Winthrop Shaw Pittman 59,038 2 18 327,888.9% 1 56 Pillsbury Winthrop Shaw Pittman 59,038 2 1 1

2= - Cravath, Swaine & Moore 58,945 1 - - 2 2 Nishimura & Asahi 3,565 2 6 -4

2= - Fried Frank Harris Shriver & Jacobson 58,945 1 - - 3= - Cravath, Swaine & Moore 58,945 1 - -

2= 57 Goodwin Procter 58,945 1 17 346,635.3% 3= - Fried Frank Harris Shriver & Jacobson 58,945 1 - -

2= 14 Latham & Watkins 58,945 1 1,245 4,634.5% 3= 58 Goodwin Procter 58,945 1 1 0

2= 2 Morrison & Foerster 58,945 1 6,436 815.9% 3= 22 Latham & Watkins 58,945 1 1 0

2= - Potter Anderson & Corroon 58,945 1 - - 3= 4 Morrison & Foerster 58,945 1 4 -3

2= 52 Sidley Austin 58,945 1 37 159,210.8% 3= - Potter Anderson & Corroon 58,945 1 - -

2= 6 Simpson Thacher & Bartlett 58,945 1 4,046 1,356.9% 3= 53 Sidley Austin 58,945 1 1 0

2= 1 Skadden Arps Slate Meagher & Flom 58,945 1 6,680 782.4% 3= 14 Simpson Thacher & Bartlett 58,945 1 2 -1

2= - Wachtell, Lipton, Rosen & Katz 58,945 1 - - 3= 12 Skadden Arps Slate Meagher & Flom 58,945 1 2 -1

2= 53 Weil Gotshal & Manges 58,945 1 37 159,210.8% 3= - Wachtell, Lipton, Rosen & Katz 58,945 1 - -

3= 54 Weil Gotshal & Manges 58,945 1 1 0 mergermarket.com FOCUS ON THE DEAL. NOT THE DATA ROOM.

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mergermarket.com Mergermarket Monthly M&A Insider May 2018 56

Criteria Contacts

The following notes pertain to data contained Data underlying the League Tables are based Head of Research Global Advertising Opportunities in this publication: on deals where the bidder, target or parent Giovanni Amodeo Nick Cheek and Erik Wickman geography of either is that of the geography Aram Hovsepian [email protected] Deals are included where the deal value is Americas in focus. + (1) 212 686 3329 greater than or equal to US$5m. Lana Vilner US & Canada Mid-market is defined as US$10m - US$250m. Ezekiel Pfeifer and Where no deal value has been disclosed, deals Asia-Pacific Philip Segal are included if the turnover of the target is All data included is correct as of April 30, 2018. Gerry Tee greater than or equal to US$10m. Central & South America For a full version of the Mergermarket M&A EMEA Nick Cheek and Deals are included in the graphs and Top deal database inclusion and league Kathleen Van Aerden Elizabeth Lim Deals in each section based on the dominant table criteria, go to http://www.Mergermarket. geography and dominant sector of the com/pdf/deal_criteria.pdf. Europe target company. Frederik Lyng Pedersen

Middle East & Africa Mohamed Rais

Asia-Pacific (excluding Japan) Jasmine Wu

Japan Jasmine Wu

mergermarket.com Mergermarket Monthly M&A Insider May 2018 57

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In M&A, information is the most valuable currency. Mergermarket reports EMEA Americas Asia on deals 6-24 months before they become public knowledge, giving our 10 Queen Street Place 330 Hudson St. 16/F, Grand Millennium Plaza subscribers a powerful competitive advantage. With the largest network London 4th Floor 181 Queen’s Road Central of dedicated M&A journalists and analysts, Mergermarket offers the most EC4R 1BE New York, NY 10013 Hong Kong comprehensive M&A intelligence service available today. Our reporters United Kingdom USA + 852 2158 9790 are based in 67 locations across the Americas, Europe, Asia-Pacific, the +44 203 741 1000 +1 212 500 7537 Middle East and Africa.

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