NEW
YORK, May 4, 2023 /PRNewswire/ -- Uncertainty
continues to weigh on dealmaking as global M&A activity and
equity issuance remained depressed in the first quarter of 2023,
according to S&P Global Market Intelligence's newly released
Global Q1 2023 M&A and Equity
Offerings Market Report. The value of global first-quarter M&A
plummeted 45.1% year-over-year to $428.38
billion and was 61.7% lower than first quarter 2021 when
activity topped $1 trillion.
The conditions to pursue deals became less appealing after the
financial sector's March upheaval, which included the second and
third largest bank failures in US history and the emergency sale of
global giant Credit Suisse Group AG. At the same time, last year's
headwinds stemming from the Russia-Ukraine war and soaring inflation continue to
linger.
"The backdrop for dealmaking continues to be tainted by
uncertainty as we saw global M&A activity drop drastically in
Q1," said Joe Mantone, lead
author of the report and Editorial Lead at S&P Global Market
Intelligence. "The turmoil in the banking sector heightened
economic concerns and slowed momentum for a deal recovery and this
will only add to the headwinds going forward."
Key highlights from the quarterly report include:
- M&A activity was depressed across the globe, with
Europe experiencing the sharpest
drop-off in the value of deals with the first quarter total falling
more than 50% to $66.64 billion.
- Global initial public offerings (IPOs) have also dropped off
significantly, with $23.15 billion
raised during the first quarter, the lowest quarterly output since
the first quarter of 2019 with a total of $18.99 billion.
- In the US, the healthcare sector produced the highest total
deal value in announced M&A deals and completed equity
offerings.
The quarterly report provides an overview of global M&A and
equity issuance trends, offering insights into the sectors and
geographies that are seeing the most activity. It also focuses on
deals with the highest valuations and the strategies larger players
pursue that underscore trends occurring throughout an industry.
S&P Global Market Intelligence has produced the quarterly
Global M&A and Equity Offering Report since the first quarter
of 2018.
To request a copy of the Q1 2023 Global M&A and Equity
Offerings Market Report, please contact press.mi@spglobal.com.
S&P Global Market Intelligence's opinions, quotes, and
credit-related and other analyses are statements of opinion as of
the date they are expressed and not statements of fact or
recommendation to purchase, hold, or sell any securities or to make
any investment decisions, and do not address the suitability of any
security.
About S&P Global Market Intelligence
At S&P Global Market Intelligence, we understand the
importance of accurate, deep and insightful information. Our team
of experts delivers unrivaled insights and leading data and
technology solutions, partnering with customers to expand their
perspective, operate with confidence, and make decisions with
conviction.
S&P Global Market Intelligence is a division of S&P
Global (NYSE: SPGI). S&P Global is the world's foremost
provider of credit ratings, benchmarks, analytics and workflow
solutions in the global capital, commodity and automotive markets.
With every one of our offerings, we help many of the world's
leading organizations navigate the economic landscape so they can
plan for tomorrow, today. For more information, visit
www.spglobal.com/marketintelligence.
Media Contact
Amanda Oey
S&P Global Market Intelligence
+1 212-438-1904
amanda.oey@spglobal.com
View original content to download
multimedia:https://www.prnewswire.com/news-releases/sp-global-market-intelligence-quarterly-report-finds-sparse-dealmaking-activity-in-q1-of-2023-with-global-ma-value-down-45-1-301816007.html
SOURCE S&P Global Market Intelligence