Home >> Resources >> Blogs >> Market Insights >> Third Consecutive Quarter of Increased M&A Activity
19 Jan |
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The IntraLinks Deal Flow Indicator shows a 12 percent increase in global M&A deal  activity in the fourth quarter of 2009. This represents the third consecutive quarter of double-digit growth. This growth builds on the 10 percent growth witnessed in the two previous quarters and represents a solid 12 percent year-over-year growth in global mergers and acquisitions activity compared to the same time period in 2008. A link to a free copy of the IntraLinks Deal Flow Indicator is available at the end of this article.
The increase in overall M&A activity can be attributed to a significant resurgence in private equity activity, thawing credit markets, and the sharp rise and continued confidence in the public equity markets. All of these factors have helped to narrow the valuation gap between buyers and sellers and to get deals closed. Private equity professionals also say increased activity is due to more available cash reserves and improving balance sheets for their portfolio companies. According to J. Andrew Damico, IntraLink's President and CEO, "The fourth quarter increase was witnessed across major regions and industries, and we saw double-digit increases in the number of telecom and media transactions. Although deal activity was still lower in 2009 than in 2008, the growth tracked by our Deal Flow Indicator signifies a positive shift." The increase is deals was driven by activity across North American, Europe, the Middle East and Africa, and Latin America. Deal activity in North America increased 12 percent and Latin America increased 9 percent from the third quarter of 2009. IntraLinks is one of the leading providers M&A virtual datarooms used on transactions valued at $25 million or more. Issued quarterly, the IntraLinks Deal Flow Indicator is calculated using the total volume of IntraLinks virtual datarooms used by deal teams initiating projects during the previous quarter. The totals are then analyzed regionally and compared to previous time periods. For more information visit www.intralinks.com. Click HERE to get a free copy of the IntraLinks Deal Flow Indicator. |
