Keeping score: Withdrawn M&A and private equity buyouts
Corporate M&A loses out …
Xstrata abandoned its $42.5 billon merger with Anglo American on Oct. 15, making it the largest withdrawn transaction this year. Withdrawn M&A has reached $205 billon so far in 2009.
The banks advising both parties would have earned an estimated $150.7 millon if the transaction had gone through. Deutsche, Lazard and UBS each lose a place in the global M&A rankings, falling to sixth, eighth and ninth, respectively, due to the failure. In Europe, Goldman Sachs loses the top spot, falling to third, while Normura drops out of the top 25 from 12th spot.
Morgan Stanley and Credit Suisse take first and second position in the year to date European rankings.
… but private equity scores a hit:
CVC Capital Partners agreed to acquire the Central European operations of Anheuser-Busch Inbev for $3 billion, in a leveraged buyout transaction on Oct. 15.
This is the second largest European private equity backed M&A deal year-to-date, bringing the total value of private equity activity to $23 billion so far this year.