Last updated: October 7, 2016
1 minutes read
Some very big deals emerged, including ARM
The surge in technology M&A has been driven by both consolidation and innovation-related transactions with fintech, mobile computing, healthcare IT and security technology noted as areas to watch. Mergermarket’s Q3 2016 Technology, Media & Telecommunication (TMT) trend report suggests that M&A activity picked up following a weak H1 2016 due to uncertainties surrounding, among other factors, the outcome of the UK referendum and the continuation of both the US and European ultra-low interest rate policies. Deal value experienced two consecutive quarterly increases during Q3 with 666 deals worth US$ 179.6bn representing a 39% climb in value compared to Q3 2015 (828 deals, US$ 128.8bn).
Key highlights from the report include:
- Four out of the top five TMT deals to-date were announced during Q3 including two Technology mega-deals (>US$ 10bn).
- The Media subsector saw a particularly weak quarter, plummeting 80.9% compared to Q3 2015 to reach its lowest quarterly value since Q3 2011.
- Softbank Group's acquisition of ARM, Europe's largest electronic chip-maker, for US$ 30.2bn was the largest deal during Q3 2016.
- Goldman Sachs led advisor rankings, having advised on 40 deals worth US$ 106,122m.