Keeping score: Buyouts, junk bonds, and Shenzhen IPOs
Highlights from the January data snapshot from Thomson Reuters:
· Private Equity-backed M&A totaled $5.8 billion during January 2010, the lowest total monthly since April 2009.
· Imputed global advisory fees during January totaled just over $1.3 billion, down 32% from this time last year.
· Global high yield offerings totaled $22.1 billion from 43 transactions in January marking the best start of the year on record.
· Covered Bonds issuance in January 2010 reached $48.5bln and marked the 3rd busiest month on record.
· The largest level of IPOs for any January on record have been issued on the Shenzhen exchange, in terms of both value and number of issues.
· BRIC IPO volumes for the beginning of 2010 are at their largest level, in terms of both value and number of issues, for any January on record.
And a bit more on M&A:
· The volume of worldwide mergers & acquisitions totaled $158.7 billion during January 2010, an increase of 5% compared to January 2009. The total number of announced M&A transactions during the month totaled 2,697 – the lowest monthly volume, by number of deals, since May 2005.
· The telecommunications and energy and power sectors accounted for 43% of announced M&A during January, bolstered by the acquisition of Mexican telecom provider Carso Global Telecom SAB de CV by America Movil, in a deal valued at $27.5 billion. The transaction is the largest telecommunications deal since the $28.1 billion acquisition of Alltel by Verizon and Vodafone in June 2008. Three of the top five largest M&A deals announced during the month involved Mexican targets, with the Carso Global Telecom acquisition ranking as the second largest acquisition of a Mexican company on record.
· Private Equity-backed M&A totaled $5.8 billion during January 2010, the lowest total monthly since April 2009 when deal activity totaled $2.1 billion. Three of the top five largest worldwide private equity-backed transactions during the month were in the retail industry. The buyout of UK-based retailer Pets at Home Ltd by Kohlberg Kravis & Roberts, valued at $1.5 billion, ranked as the biggest buyout-backed deal of the month.
· Imputed global advisory fees during January 2010 totaled just over $1.3 billion, down 32% from this time last year and the lowest monthly period for completed M&A fees since August 2009.