M&A Review. Western Europe. February 2017

Transcription

1 M&A Review Western Europe February 2017

2 The following report details mergers and acquisitions activity in Western Europe in February 2017 using data from the Zephyr database. It focuses on deal activity by target company. Click here to access the raw data in an Excel spreadsheet. M&A volume and value down in February There were 1,599 mergers and acquisitions (M&A) worth a combined EUR 60,810 million targeting Western European companies in February, representing the second consecutive decline by value and the lowest recorded result since August 2016 (EUR 45,079 million). Value declined 36 per cent against a 22 per cent decrease by volume month-on-month and was down year-on-year from 2,120 deals worth EUR 96,429 million in February Despite the decline recorded in February, there were still seven sizable M&A deals announced in the four weeks under review each worth more than EUR 1,000 million, one of which was valued at over EUR 10,000 million. Western Europe deals by volume and value Announced date No of deals Feb-17 1,599 60,810 Jan-17 2,057 95,700 Total deal value Dec-16 2, ,480 Nov-16 2,607 66,779 Oct-16 2,556 93,413 Sep-16 2,574 85,625 Aug-16 2,123 45,079 Jul-16 2, ,065 Jun-16 2, ,096 May-16 2,171 78,383 Apr-16 2,313 68,245 Mar-16 2,243 68,044 Feb-16 2,120 96,429 Welcome to the business of certainty. We capture and treat private company and M&A information for better decision making and increased efficiency. The most comprehensive deal database The world s most powerful comparable data resource on private companies Combining deal and company data Page 1

3 Western Europe deals by volume and value 250,000 3,000 Deal value 200, , ,000 2,500 2,000 1,500 1,000 50, Feb-16 Mar-16 Apr-16 May-16 Jun-16 Jul-16 Aug-16 Sep-16 Oct-16 Nov-16 Dec-16 Jan-17 Feb-17 0 Aggregate deal value Number of deals Page 2

4 Expanded EU of 28 countries deals by volume and value Announced date No of deals Total deal value Feb-17 1,653 58,063 Jan-17 2,294 62,232 Dec-16 2, ,507 Nov-16 2,794 64,718 Oct-16 2,779 96,328 Sep-16 2,704 83,257 Aug-16 2,337 40,682 Jul-16 2, ,834 Jun-16 2, ,034 May-16 2,533 74,233 Apr-16 2,680 65,948 Mar-16 2,695 65,526 Feb-16 2,616 53,342 Page 3

5 Unicredit deal dominates the top 20 Unicredit accounted for the largest deal in February as the Italian banking group agreed to issue shares worth EUR 13,000 million, or 21 per cent of the total M&A value recorded in the month under review. The lender is issuing up to 1,607 million shares at a price of around EUR 8 apiece in a rights issue that is expected to comprise 13 new shares for every five held for a stake of 72 per cent. While this was the only deal worth more than EUR 10,000 million in the four-week period, two others each valued at over EUR 2,000 million were also announced. Advent International agreed to acquire German pharmaceutical company STADA Arzneimittel for EUR 3,616 million in the second largest deal in February. Third place took the form of an acquisition of Dutch industrial rigid packaging product maker Mauser Group by Stone Canyon-owned BWAY for EUR 2,140 million. While usually the majority of dealmaking is kept within the region in terms of the top 20 announced deals, overseas buyers actually took part in seven deals, compared to the six Western European acquirors. Some of the foreign buyers included Russia s Gazprom, Enbridge of Canada, US-based JPMorgan and UAE-headquartered Mercator. Banks lead the way by value Italy and Germany receive larger investments than the UK In breaking from the usual pattern, the value of investment in companies based in the UK was dwarfed by Italy and Germany in February despite the country remaining on top in terms of volume. Italy was the most valuable country in February with EUR 16,838 million, up 4 per cent on EUR 16,169 million in January and almost six times larger than the EUR 2,655 million recorded for February However, 77 per cent of the country s value can be attributed to Unicredit s EUR 13,000 million capital increase. Germany followed suit as value increased significantly both month-on-month and yearon-year to EUR 10,235 million in the four weeks under review. Large declines over the four weeks were recorded for the UK and Switzerland, among others, as the aggregate value of dealmaking in the former was down 57 per cent at EUR 7,903 million from EUR 18,244 million, while the latter decreased 92 per cent from EUR 33,990 million in January to EUR 2,786 million in February. In terms of volume the UK led the way with 358 deals, down from the 430 deals in January and the 574 deals recorded in February The country was followed by Germany, France and Sweden with 237, 193 and 155 deals, respectively. Companies operating in the banking industry were the most valuable in February, due to Unicredit s EUR 13,000 million rights issue, with EUR 19,524 million accounting for 32 per cent of total M&A value (EUR 60,810 million). Despite the decrease by value for some sectors such as chemicals, rubber and plastics (January: EUR 35,455 million; February: EUR 5,926 million) and machinery, equipment, furniture and recycling (January: EUR 17,555 million; February EUR 4,463 million), other sectors such as metals and metal products, gas, water and electricity and transport improved month-on-month to EUR 4,349 million, EUR 3,015 million and EUR 2,647 million, respectively. In terms of volume the machinery, equipment, furniture and recycling industry led the way with 179 deals and was followed by wholesale and retail trade (105 deals), publishing and printing (102) and chemicals, rubber and plastics (77). Page 4

6 Top 20 deals by value Deal value Deal type Target Target country Acquiror Acquiror country Deal status 1. 13,000 Capital Increase 72% Unicredit SpA IT Pending 2. 3,616 IBO 100% STADA Arzneimittel AG DE Advent International Corporation US Announced 3. 2,140 Acquisition 100% Mauser Group NV NL BWAY Corporation US Announced 4. 1,500 Acquisition 100% Thyssenkrupp Slab International BV NL Ternium SA LU Announced 5. 1,425 Acquisition increased to 100% Nord Stream 2 AG CH Gazprom PAO RU Announced 6. 1,120 Minority stake 3% Intesa SanPaolo SpA IT Assicurazioni Generali SpA IT Completed 7. 1,069 Minority stake 5% CaixaBank SA ES Institutional Investors; Qualified Investors Completed Minority stake 50% EnBW Hohe See GmbH & Co. KG DE Enbridge Inc. CA Completed Minority stake 25% Telxius Telecom SA ES Taurus Bidco Sarl US Announced Minority stake 5% Carrefour SA FR JPMorgan Whitefriars Inc.; JP Morgan Securities plc; JP Morgan Securities LLC US; GB: US Completed Minority stake 6% DONG Energy A/S DK Institutional Investors Completed Minority stake 40% to 50% Turkiye Garanti Bankasi AS TR Banco Bilbao Vizcaya Argentaria SA ES Announced Capital Increase Deutsche Wohnen AG DE Completed Minority stake 3% Deutsche Bank AG DE C-QUADRAT Asset Management (UK) LLP GB Completed Minority stake 11% WorldPay Group plc GB Completed Acquisition 27% to 100% Pfeiffer Vacuum Technology AG DE Pangea GmbH DE Pending Acquisition 100% Accelya Holding World SL ES Management; Mercator NA; AE Announced Capital Increase 20% RPC Group plc GB Announced Minority stake 17% Philips Lighting NV NL Institutional Investors Completed Acquisition 100% Gallagher UK Ltd GB London & Quadrant Housing Trust Ltd GB Completed Page 5

7 Top 20 private equity deals by value Deal value Deal type Target Target country Fund Manager/General Partner Deal status 1. 3,616 IBO 100% STADA Arzneimittel AG DE Advent International Corporation Announced Minority stake 25% Telxius Telecom SA ES KKR & Co LP Announced Minority stake 20% Pension Insurance Corporation plc GB CVC Capital Partners Ltd Announced IBO 100% Golden Goose Srl IT Carlyle Group LP Announced IBO 100% Travelopia Holdings Ltd GB KKR & Co LP Pending IBO 90% Nueva Agora Centro de Estudios SL ES Providence Equity Partners LLC Announced Acquisition majority stake Pacha Ibiza SA; El Hotel Pacha SL; Nube SL; Pacha Sitges SL; ES MCH Private Equity SGECR SA; Trilantic Capital Management LLC; GPF Capital I SCA SICAR Announced Lio Ibiza SL; Pacha Ibiza SA's national and international franchises IBO majority stake Audiotonix Ltd GB Astorg Partners SAS Announced IBO 50% South East Water Ltd GB Hastings Funds Management Ltd Completed IBO 100% OAG Aviation Holdings Ltd GB Vitruvian Partners LLP Completed MBO 100% Park Leisure 2000 Ltd GB Ares Capital Europe Ltd; Midlothian Capital Partners Ltd Announced IBO majority stake Timico Technology Group Ltd GB Lyceum Capital Partners LLP Completed IBO 100% Araven SL ES Oquendo Capital SL; GED Iberian Private Equity SA SGEIC Completed Capital Increase Prexton Therapeutics SA CH Forbion Capital Partners Management Holding BV; Ysios Capital Partners SGECR SA; Completed Sunstone Capital A/S; Seroba Kernel Life Sciences Ltd; Merck Ventures BV Minority stake Oncoinvent AS NO Canica AS; Geveran Trading Co Ltd; Must Invest AS; CGS Holding AS; Helene Sundt AS Completed Minority stake New World Trading Company (UK) Ltd GB National Westminster Bank plc Completed Minority stake Bloomon Nederland BV NL Partech International Partners SAS; INKEF Capital BV; Fortino Beheer BVBA Completed Minority stake Soundtrack Your Brand Sweden AB SE Industrifonden AB; Creandum Advisor AB; Balderton Capital (UK) LLP; Northzone Ventures Completed Sweden AB; Telia Company AB Minority stake BAT Household Services GmbH DE Coller Capital Ltd; Tamedia AG; DN Capital Ltd; Target Global Completed Minority stake Qwant SAS FR Completed Page 6

8 PE and VC value up year-on-year In keeping with the overall trend, both the volume and value of private equity and venture capital (PE and VC) investment in February declined month-on-month to 218 deals worth EUR 8,018 million; however, on a 12-month comparison PE and VC value bucked the pattern by increasing slightly from EUR 7,995 million in February Value fell 29 per cent from EUR 11,340 million in January, representing the second consecutive decline and the lowest recorded result since August 2016 (EUR 4,693 million). Volume was down a fifth from 273 deals last month and 15 per cent year-onyear, despite the increase by value. The decrease can be attributable to the lack of high valued deals recorded in February as only one deal exceeded EUR 1,000 million in the four-week period. Advent International agreed to acquire German pharmaceutical company STADA Arzneimittel for EUR 3,616 million in the largest month s largest deal, representing 45 per cent of total PE and VC value for the month. This deal was significantly larger than its nearest competitor as KKR, through its Taurus Bidco acquisition vehicle, agreed to buy a 25 per cent stake in Spanish telecommunications towers operator Telxius Telecom for EUR 934 million. Private equity deals by volume and value Announced date No of deals Feb ,018 Jan ,340 Dec ,348 Nov ,140 Oct ,416 Sep ,969 Aug ,693 Jul ,120 Jun ,997 May ,782 Apr ,951 Mar ,934 Feb ,995 Total deal value Page 7

9 Private equity deals as a percentage of total volume Announced date Private equity volume Total volume Percentage Feb , Jan , Feb , Private equity deals as a percentage of total value Announced date Private equity value Total value Percentage Feb-17 8,018 60, Jan-17 11,340 95, Feb-16 7,995 96,429 8 Page 8

10 Private equity deals by volume and value Deal value 40,000 35,000 30,000 25,000 20,000 15,000 10,000 5, Feb-16 Mar-16 Apr-16 May-16 Jun-16 Jul-16 Aug-16 Sep-16 Oct-16 Nov-16 Dec-16 Jan-17 Feb-17 0 Aggregate deal value Number of deals Page 9

11 Deal types by volume in February Deal types by volume Minority stake Acquisition Capital increase IBO MBO MBI / MBO Deal type Feb-16 Jan-17 Feb-17 Minority stake 1,113 1, Acquisition Capital increase IBO MBO MBI / MBO Deal types by value in February Deal types by value Minority stake Deal type Feb-16 Jan-17 Feb-17 Capital increase Acquisition IBO MBO MBI / MBO Minority stake 17,321 22,741 22,532 Capital increase 11,230 5,623 17,707 Acquisition 62,663 63,835 14,849 IBO 4,961 3,494 5,583 MBO MBI / MBO Page 10

12 Target sector by volume Target sector by value Target sector Feb-16 Jan-17 Feb-17 Target sector Feb-16 Jan-17 Feb-17 Other services Machinery, equipment, furniture, recycling Wholesale & retail trade Publishing, printing Chemicals, rubber, plastics Transport Metals & metal products Food, beverages, tobacco Construction Banks Primary sector Insurance companies Education, health Post and telecommunications Gas, water, electricity Hotels & restaurants Textiles, wearing apparel, leather Wood, cork, paper Public administration and defence Banks 1,156 1,956 19,524 Other services 12,495 12,121 10,583 Chemicals, rubber, plastics 50,211 35,455 5,926 Machinery, equipment, furniture, recycling 4,907 17,555 4,463 Metals & metal products 1, ,349 Gas, water, electricity 5,171 2,984 3,015 Wholesale & retail trade 5,163 5,253 2,768 Transport 2, ,647 Construction 2,634 2,419 2,356 Post and telecommunications 5,175 1,014 1,223 Textiles, wearing apparel, leather Insurance companies 687 1, Hotels & restaurants 359 1, Education, health Publishing, printing 2, Primary sector 1,003 8, Food, beverages, tobacco 154 2, Wood, cork, paper Public administration and defence Page 11

13 Target country by volume Target country by value Target country Feb-16 Jan-17 Feb-17 Target country Feb-16 Jan-17 Feb-17 UK Germany France Sweden Spain Netherlands Switzerland Italy Norway Denmark Belgium Turkey Finland Ireland Austria Portugal Luxembourg Cyprus Greece Gibraltar Italy 2,655 16,169 16,838 Germany 3,910 3,778 10,235 UK 18,312 18,244 7,903 Netherlands 2,450 2,862 6,251 Spain 3,390 4,350 5,305 France 8,123 8,670 4,390 Switzerland 43,815 33,990 2,786 Sweden 10,359 2,812 1,882 Norway ,108 Finland 873 1,145 1,104 Denmark Turkey Austria Ireland Gibraltar Belgium Luxembourg Portugal 431 1, Greece Cyprus Page 12

14 Zephyr Half Year M&A Report Notes to editors Activity is based on the activity of the target company Deal status is announced within the time period The sector breakdown uses targets activities as defined to be Major Sectors by Zephyr The Western Europe region covers target companies in Andorra, Austria, Belgium, Cyprus, Denmark, Finland, France, Germany, Gibraltar, Greece, Iceland, Ireland, Italy, Liechtenstein, Luxembourg, Malta, Monaco, Netherlands, Norway, Portugal, San Marino, Spain, Sweden, Switzerland, Turkey and the United Kingdom Data refers to target companies based in Western Europe except where specified as expanded EU of 27 countries on page 3 The date range is 01/02/ /02/2017 inclusive